Krewina v. United Specialty Ins. Co.

2021 Ohio 4425
CourtOhio Court of Appeals
DecidedDecember 17, 2021
DocketC-210163
StatusPublished
Cited by1 cases

This text of 2021 Ohio 4425 (Krewina v. United Specialty Ins. Co.) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Krewina v. United Specialty Ins. Co., 2021 Ohio 4425 (Ohio Ct. App. 2021).

Opinion

[Cite as Krewina v. United Specialty Ins. Co., 2021-Ohio-4425.]

IN THE COURT OF APPEALS FIRST APPELLATE DISTRICT OF OHIO HAMILTON COUNTY, OHIO

AUSTIN KREWINA, : APPEAL NO. C-210163 TRIAL NO. A-1903706 Plaintiff-Appellant, :

vs. : O P I N I O N. UNITED SPECIALTY INSURANCE : CO., : Defendant-Appellee. :

Civil Appeal From: Hamilton County Court of Common Pleas

Judgment Appealed From Is: Reversed and Case Remanded

Date of Judgment Entry on Appeal: December 17, 2021

Mezibov Butler and Brian J. Butler, and Goodson & Company and Brett Goodson, for Plaintiff-Appellant,

Collins Roche Utley & Garner LLC and Richard M. Garner, for Defendant-Appellee. OHIO FIRST DISTRICT COURT OF APPEALS

BOCK, Judge.

{¶1} Plaintiff-appellant Austin Krewina appeals the trial court’s declaratory

judgment, which determined that his claims were not covered by an insurance policy

issued by defendant-appellee United Specialty Insurance Company (“USIC”). The

question here is whether the acts of a person living with a mental-health condition

that renders him incapable of governing his conduct in accordance with reason

triggered the policy exclusion for assault or battery, or a liability-limitation

endorsement for physical abuse. We hold that those acts do not trigger the exclusion

or the endorsement and reverse the judgment of the trial court.

I. Facts and Procedure

{¶2} Austin Krewina and Colin Doherty lived at the Brown County Care

Center (“BCCC”), a group care facility that provided room and board for adults

transitioning from jails and restrictive health facilities to independent living. In

September 2014, Doherty attacked Krewina with a razor blade. The details

surrounding the attack are unclear, but Krewina survived despite multiple

lacerations to his face and neck.

A. The Policy

{¶3} In 2014, BCCC contracted with USIC for liability coverage under a

commercial general liability policy (“Policy”). The Policy covered BCCC as a “group

home” service provider. Under the Policy, USIC agreed to pay “those sums” for which

BCCC became liable “because of any negligent act, error or omission with respect to

professional services, rendered by or that should have been rendered by [BCCC]”

that led to bodily injury. In this appeal, two provisions are at issue.

2 OHIO FIRST DISTRICT COURT OF APPEALS

{¶4} First, the “Assault and Battery Exclusion” (“Exclusion”) limited

coverage by USIC. At its core, the Policy left BCCC without coverage for any claims of

bodily injury arising out of an actual, threatened, or alleged assault or battery:

1. This insurance does not apply to “bodily injury”, “property

damage”, or “personal and advertising injury” arising out of or

resulting from:

(a) any actual, threatened or alleged assault or battery;

(b) the failure of any insured or anyone else for whom any

insured is or could be held legally liable to prevent or

suppress any assault or battery;

****

2. We shall have no duty to defend or indemnify any claim, demand,

suit, action, litigation, arbitration, alternative dispute resolution or

other judicial or administrative proceeding seeking damages,

equitable relief, injunctive relief, or administrative relief where:

(a) any actual or alleged injury arises out of any combination of

an assault or battery-related cause of action and a non-

assault or battery-related cause.

(b) any actual or alleged injury arises out of a chain of events

which includes assault or battery, regardless of whether the

assault or battery is the initial precipitating event or a

substantial cause of injury.

(c) any actual or alleged injury arises out of assault or battery

as a concurrent cause of injury, regardless of whether the

assault or battery is the proximate cause of injury. 3 OHIO FIRST DISTRICT COURT OF APPEALS

The Exclusion left the words “assault” and “battery” undefined.

{¶5} Second, the policy had a “Physical and Sexual Abuse Amendatory

Endorsement” (“Endorsement”). The Endorsement modified the policy and extended

coverage to any “bodily injury” caused by “any actual, threatened or alleged physical

or sexual abuse or molestation to any person left under [BCCC’s] care or supervision

as a licensed care provider.” While physical-abuse claims were covered under the

policy, the Endorsement limited coverage to $25,000 per each instance of physical

abuse and a $50,000 total limitation. The Endorsement left “abuse” undefined.

B. State v. Doherty

{¶6} The state indicted Doherty for multiple counts of attempted murder,

attempted aggravated murder, and felonious assault in the Brown County Court of

Common Pleas. State v. Doherty, Brown C.P. No. CRI2014-2191 (Jan. 1, 2015). In

2015, the Brown County court found Doherty not guilty by reason of insanity—that

Doherty “did not know, as a result of a severe mental disease or defect, the

wrongfulness of [his] acts.” See R.C. 2901.01(A)(14) and 2945.391.

{¶7} Weeks later, the Brown County court held an R.C. 2945.40(A) hearing

to determine if Doherty had a mental illness that required court supervision and civil

commitment. Based on psychiatric and psychological reports, the court found that

Doherty lived with “auditory hallucinations that have involved command

hallucinations that indicate homicidal threats and aggression toward others.”

Doherty experienced “delusional beliefs and paranoia, which commonly involve[d]

themes that other individuals are attempting to harm him.” The trial court found, by

clear and convincing evidence, that Doherty had a mental illness that required his

involuntary commitment.

4 OHIO FIRST DISTRICT COURT OF APPEALS

C. Krewina v. BCCC

{¶8} In 2016, Krewina sued BCCC and Doherty for damages in the

Hamilton County Court of Common Pleas. Krewina alleged that Doherty had

negligently caused Krewina’s physical injuries and that BCCC “negligently, recklessly,

and carelessly failed to keep” Krewina free from abuse, physical harm, pain, and

mental anguish. BCCC sought defense and indemnification from USIC under the

Policy, but USIC refused. Specifically, USIC concluded that “the policy excludes

coverage for any cause of action arising out of any actual, threatened, or alleged

assault and battery.” BCCC filed a third-party complaint against USIC for multiple

claims, including breach of contract.

{¶9} While those claims were pending, Krewina and BCCC entered into a

“Settlement Agreement, Consent Judgment and Covenant Not To Execute”

(“Settlement Agreement”). In turn, the trial court entered a judgment against BCCC

in accordance with the Settlement Agreement and awarded Krewina $952,924.36 in

damages. Krewina v. Brown County Care Center, LLC, Hamilton C.P. No. A-

1600368 (Nov. 15, 2016). In the Settlement Agreement, Krewina and BCCC

stipulated that when “Doherty inflicted serious bodily injury on Krewina, [he]

suffered from a derangement of his intellect which deprived him of his capacity to

govern his conduct in accordance with reason.” BCCC assigned all claims against

USIC to Krewina and voluntarily dismissed its third-party claims against USIC.

{¶10} Following that judgment, Krewina sought payment from USIC as the

successor-in-interest to BCCC’s insurance policy under R.C. 3929.06(A)(1). Krewina

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