Marmillion v. American International Insurance Co.

381 F. App'x 421
CourtCourt of Appeals for the Fifth Circuit
DecidedJune 16, 2010
Docket08-61129, 09-60228
StatusUnpublished
Cited by36 cases

This text of 381 F. App'x 421 (Marmillion v. American International Insurance Co.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Marmillion v. American International Insurance Co., 381 F. App'x 421 (5th Cir. 2010).

Opinion

PER CURIAM: *

Raimee Marmillion, a victim of Hurricane Katrina, filed suit against American International Insurance Company (“AIG”), AIG Marketing, Inc., Willis North America Inc., and Willis of Louisiana, Inc. (“Willis”) after AIG allegedly refused to honor the insurance policy on her damaged beach house. Although the case proceeded to trial, the district court granted the defendants’ motions for judgment as a matter of law. The defendants, as the prevailing parties, moved for costs. The district court denied their costs in substantial part. The parties’ appeals are before the court.

I.

Willis procured four insurance policies through AIG for Marmillion in October 2003. The policies included two homeowner’s insurance policies — one for Mar-million’s beach house in Mississippi and one for Marmillion’s house in Metairie, Louisiana; an excess liability policy; and an automobile policy. The premium for all four policies was billed under a single account and payable in four installments. AIG agreed to directly bill Marmillion for each premium payment.

*423 In late 2003 and continuing into 2004, Marmillion contacted Willis several times about changing her billing address. Mar-million’s living situation changed frequently during that time. Despite Marmillion’s requests, her billing address never changed before AIG sent the bill for the next premium installment. She regularly failed to receive billing statements from AIG and regularly failed to make timely premium payments. AIG issued Marmil-lion at least eight notices of cancellation and, on at least one occasion, temporarily cancelled her policies. Despite these problems, Marmillion was able to arrange with Willis and AIG to pay an amount to keep all four polices in force.

The policies renewed in October 2004, and Marmillion continued to experience billing problems. For instance, Marmil-lion did not receive a bill in September or November 2004. Both times, AIG sent Marmillion a notice of cancellation. Upon receipt of the notice, Marmillion contacted Willis and asked that it send her the bill so she could avoid cancellation. Willis faxed the bills and the premiums were paid before the policies cancelled.

Because AIG continued to send the bills to the wrong address, Marmillion again contacted Willis in November 2004 and asked that her billing address be changed to her home in Arkansas. She also asked Willis to cancel her automobile policy. A Willis employee sent AIG an e-mail in November 2004 asking AIG to change Marmillion’s “insured address” to the Arkansas address and to cancel her automobile policy. An AIG employee interpreted the e-mail as a request to change the mailing address, not a request to change the mailing and billing addresses. AIG changed her mailing address and cancelled the automobile policy, but her billing address remained the same. In mid-January 2005, Marmillion again requested that her billing address be changed.

AIG sent Marmillion her third bill for the 2004-2005 policy year on January 21, 2005. However, because the bill was not sent to her Arkansas address, Marmillion did not receive it. AIG sent a reminder notice, but again, not to the Arkansas address. Having not received the bill or the reminder notice, Marmillion did not pay her bill.

On March 21, 2005, AIG mailed cancellation notices to Marmillion at the Arkansas address for the beach house policy and the Metairie policy for non-payment of premium. The notices stated the amounts due and when the policies would be cancelled. Marmillion received the notices of cancellation before the policies were cancelled, but did not ask Willis to send her the third bill or pay the amount owed. At the time of cancellation, both policies had accrued excess premiums. The premium credits were refunded to Marmillion on May 4, 2005, but the check was sent to the wrong address.

In June, Marmillion contacted Willis about her account. A Willis employee informed her that the policies had been can-celled, and Marmillion told the employee that she did not believe her. According to Marmillion’s testimony, the employee told Marmillion that she would contact AIG and that Marmillion did not need to make a payment and that she had a credit coming.

In August 2005, Marmillion contacted Willis’s corporate office in New York and spoke to Sandra Bravo. According to Marmillion, Bravo informed Marmillion that she was going to help Marmillion “take care of this” and asked Marmillion to tell her exactly what Marmillion needed covered. That day, Marmillion wrote a check to AIG for $7,576.80 but did not send it.

In a letter dated August 18, 2005, a Willis employee informed Marmillion that *424 the beach house policy had been cancelled effective April 6, 2005, and that Willis would make no attempt to have the policy reinstated or replaced absent receipt of a written request from Marmillion. Marmil-lion never contacted Willis to seek reinstatement or replacement of her policy.

Hurricane Katrina struck on August 29, 2005, and damaged the beach house. On September 15, 2005, Marmillion overnight-ed the check drafted in August, and Willis assisted Marmillion in filing her claim on the beach house policy. Her claim was later denied by AIG on the basis that AIG cancelled her policy before the claim arose.

After AIG denied her claim, Marmillion filed suit. The case proceeded to trial. But, at the close of Marmillion’s case in chief, the district court granted AIG’s motion for judgment as a matter of law on one of Marmillion’s theories of breach of contract and dismissed AIG Marketing, Inc. The district court also granted Willis’s motion for judgment as a matter of law on one of Marmillion’s theories of negligence and dismissed Willis North America, Inc. At the close of the case, the district court granted judgment as a matter of law on Marmillion’s remaining claims.

As the prevailing parties, the defendants filed bills of costs. Marmillion objected, and the district court substantially denied the requested costs. This appeal ensued.

We will consider first whether judgment as a matter of law was properly granted on Marmillion’s breach of contract and negligence claims. We will then consider whether the district court abused its discretion in substantially denying the defendants’ costs.

II.

We review de novo whether a district court properly granted judgment as a matter of law, applying the same legal standard as the district courts. Brown v. Bryan County, OK, 219 F.3d 450, 456 (5th Cir.2000). “If a party has been fully heard on an issue during a jury trial and the court finds that a reasonable jury would not have a legally sufficient evidentiary basis to find for the party on the issue,” a district court may resolve an issue against the party and grant a motion for judgment as a matter of law on a claim or defense. Fed.R.Civ.P. 50(a).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
381 F. App'x 421, Counsel Stack Legal Research, https://law.counselstack.com/opinion/marmillion-v-american-international-insurance-co-ca5-2010.