Johnson, Duffie, Swewart & Weidner - Law
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ATTORNEY DARREN POWELL WINS SUMMARY JUDGMENT IN FAVOR OF HOMEOWNERS' INSURANCE COMPANY

05.08.17

On April 12, 2017, Attorney Darren Powell successfully obtained a dismissal of his client in a breach of contract and bad faith lawsuit filed in Dauphin County. The suit arose from a fire loss to Plaintiffs' detached garage. Plaintiffs had purchased a homeowners' policy from Attorney Powell's client years before the fire.

Since then, the Plaintiffs had begun operating a carpentry/remodeling business out of the house. Eventually, Plaintiffs built a detached garage in order to accommodate their growing business. The fire destroyed the garage and all of the machinery and tools kept therein.

The homeowners' carrier invoked the policy exclusions and limitations for business activity, which significantly limited coverage for Plaintiffs' losses. Plaintiffs argued that, since the insurance agent was aware of their business and the addition of the garage, this knowledge should be imputed to the homeowners' insurance company and preclude any exclusion or limitations.

Attorney Powell argued that the agent was an independent insurance agent, acting on behalf of the Plaintiffs, so that the agent's knowledge should not be imputed as against the insurance company. The Court agreed and dismissed Attorney Powell's client from the suit.

Please contact Darren Powell at (717) 761-4540 or dpowell@johnsonduffie.com for further information.