McDonnell v. United Servs. Auto Ass'n

CourtSuperior Court of Maine
DecidedAugust 11, 2003
DocketCUMcv-02-041
StatusUnpublished

This text of McDonnell v. United Servs. Auto Ass'n (McDonnell v. United Servs. Auto Ass'n) is published on Counsel Stack Legal Research, covering Superior Court of Maine primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
McDonnell v. United Servs. Auto Ass'n, (Me. Super. Ct. 2003).

Opinion

STATE OF MAINE e SUPERIOR COURT ER CIVIL ACTION CUMBERLAND, ss. DOCKET NO. CV 02-041 BRIAN J. & VICKTE L. MCDONNELL, Plaintiffs AO se V. ORDER

UNITED SERVICES AUTO ASSOCIATION,

Defendants

Before this court are the parties’ cross-motions for partial summary judgment, pertaining to Count II of the Complaint entitled “Unfair Trade Practices.” Both motions are made pursuant to M.R.Civ.P. 56(c).

FACTS

On February 12, 2001, on a rainy night, Plaintiff Brian J. McDonnell, wearing a dark leather jacket, crossed a street at an intersection in Alexandria, Virginia. While he was still in the crosswalk, the traffic light holding back traffic changed. A car driven by Gordon L. Dickinson struck Plaintiff McDonnell. Asa result of the accident, Plaintiff McDonnell suffered serious bodily injuries, the damages exceeding $300,000.00.

On March 27, 2001, Plaintiff McDonnell notified in writing his own auto

insurance carrier, Defendant USAA, that he was making an uninsured or underinsured motorist claim arising out of the accident. Ina letter dated April 3, 2001, Defendant USAA denied Plaintiff McDonnell’s claim for uninsured or underinsured motorist coverage under his policy because Defendant USAA determined that Plaintiff McDonnell was responsible for the accident. On July 27, 2001, Plaintiff McDonnell asked Defendant USAA for permission to settle his claims with Dickinson’s insurers. On November 14, 2001, Plaintiff McDonnell informed Defendant USAA that Dickinson’s insurers had tendered their policy limits. On December 3, 2001, Defendant USAA requested an asset check on Dickinson so as to determine if its subrogation rights should be pursued. Between December 28, 2001 and January 21, 2002, Plaintiff McDonnell accepted $50,000.00 from Dickinson’s insurers in exchange for releasing all claims. Defendant USAA had never given its permission to Plaintiff McDonnell to settle

with Dickinson’s insurets.

DISCUSSION The Law Court has stated that summary judgment is no longer an extreme

remedy. Curtis v. Porter, 2001 ME 158, (7, 784 A.2d 18, 21. At the present

procedural window, this court must take note of the following:

A summary judgment is warranted when the statement of material facts and the pleadings, depositions, answers to interrogatories, admissions on file, and affidavits, if any, cited in the statement of material facts establish that there is no genuine issue of material fact and that a party is entitled to a judgment as a matter of law.

Darling’s v. Ford Motor Co., 2003 ME 21, 94, 817 A.2d 877, 879 (citing M.R.Civ.P.

56(c), (h)). The issue is whether Defendant USAA’s actions constituted an unfair claims settlement practice that injured Plaintiff McDonnell. The relevant Maine statute states:

1. A person injured by any of the following actions taken by that

person's own insurer may bring a civil action and recover damages,

together with costs and disbursements, reasonable attorney's fees

and interest on damages at the rate of 1 1/2% per month;

A. Knowingly misrepresenting to an insured pertinent facts or policy provisions relating to coverage at issue;

B. Failing to acknowledge and review claims, which may include payment or denial of a claim, within a reasonable time following receipt of written notice by the insurer of a claim by an insured arising under a policy;

C. Threatening to appeal from an arbitration award in favor of an insured for the sole purpose of compelling the insured to accept a settlement less than the arbitration award;

D. Failing to affirm or deny coverage, reserving any appropriate defenses, within a reasonable time after having completed its investigation related to a claim; or

E. Without just cause, failing to effectuate prompt, fair and equitable settlement of claims submitted in which liability has become reasonably clear.

24-A M.R.S.A. § 2436-A (2000).

In Count II of the Complaint, Plaintiff McDonnell alleges that Defendant USAA knowingly misrepresented aspects of his insurance policy coverage, failed to timely acknowledge and review his claims after he submitted them in writing, and failed to promptly settle his claims in a fair manner. Compl. 30. In other words, Defendant USAA essentially violated Title 24-A M.R.S.A. § 2436-A (1) (a), (b), and (e). The statement of material facts does not show that Defendant USAA knowingly misrepresented any pertinent facts or policy provisions related to his

insurance coverage. Moreover, the statement of material facts show that

"a0 Defendant USAA had just cause to refuse to settle the claim because it had a reasonable basis to contest liability, namely because Plaintiff McDonnell may have been more than 50% negligent. Finally, the statement of material facts show that Defendant USAA may not have giving its consent to Plaintiff McDonnell to settle with Dickinson’s insurance carriers, but when strictly construing Title 24-A

M.R.S.A. § 2436-A this does not constitute a violation thereof. See Marquis v.

Family Mut. Ins. Co., 628 A.2d 644, 651 (Me. 1993) (strictly construing 24-A

M.R.S.A. § 2436, which was penal in nature).

WHERFORE, this court shall GRANT the Defendant’s Motion for Partial

Summary Judgment and DENY the Plaintiff's Motion for Partial Summary

/

Judgment.

Dated: August_/f_, 2003

A / hy fortes

Justice, uperior Court

BRIAN MCDONNELL - PLAINTIFF

Attorney for: BRIAN MCDONNELL JULIAN SWEET

BERMAN & SIMMONS

PO BOX 961

129 LISBON STREET

LEWISTON ME 04243-0961

VICKIE MCDONNELL - PLAINTIFF

Attorney for: VICKIE MCDONNELL JULIAN SWEET

VS

UNITED SERVICES AUTOMOBILE ASSOCIATION - DEFENDANT

Attorney for: UNITED SERVICES AUTOMOBILE

ASSOCIATIONN

RICHARDSON WHITMAN LARGE & BADGER

465 CONG.arS SP, SUITE 309 PO BOX 9545

PORTLAND ME 04112-9545

SUPERIOR COURT CUMBERLAND, ss.

‘Docket No PORSC-CV-2002-00041

DOCKET RECORD STATE OF MAINE 8." SUPERIOR COURT

> ~~ CIVIL ACTION CUMBERLAND) ss. oe ~~ DOCKET NO. CV 02-041 BRIAN J. & VICKIE L. MCDONNELL, Plaintiffs Vv. ORDER

Defendant

Before this court is the Defendant’s motion in limine to declare that the tort

issues in the present case will be determined pursuant to Virginia law, FACTS

Plaintiff Brian J. McDonnell is a Maine resident. Defendant United Services Auto Association (USAA) is a Texas-based auto insurance company licensed to do business in Maine. Plaintiff McDonnell held an auto insurance policy issued in Maine by Defendant USAA. The terms of this auto policy included uninsured motorist coverage, which for purposes of this motion is the

equivalent of underinsured motorist coverage.’

‘ Maine statutory law provides:

No policy insuring against liability arising out of the ownership, maintenance or use of any motor vehicle shall be delivered or issued for delivery in this State with respect to any such vehicle registered or principally garaged in this State, On February 12, 2001, Plaintiff McDonnell crossed a street in Alexandria, Virginia and was struck by an underinsured automobile driven by Gordon Dickinson, a nonparty. Asa result of the accident, Plaintiff McDonnell suffered, among other things, traumatic brain injury. Plaintiff McDonnell brought suit against Defendant USAA to recover $250,000.00, the full amount of the uninsured motorist coverage afforded by his policy.

DISCUSSION

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Related

Williams v. Harrison
497 S.E.2d 467 (Supreme Court of Virginia, 1998)
Wayne v. Farm Family Mutual Insurance
628 A.2d 644 (Supreme Judicial Court of Maine, 1993)
Darling's v. Ford Motor Co.
2003 ME 21 (Supreme Judicial Court of Maine, 2003)
Wescott v. Allstate Insurance
397 A.2d 156 (Supreme Judicial Court of Maine, 1979)
Greenvall v. Maine Mutual Fire Insurance
1998 ME 204 (Supreme Judicial Court of Maine, 1998)
Curtis v. Porter
2001 ME 158 (Supreme Judicial Court of Maine, 2001)
Flaherty v. Allstate Insurance
2003 ME 72 (Supreme Judicial Court of Maine, 2003)

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Bluebook (online)
McDonnell v. United Servs. Auto Ass'n, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mcdonnell-v-united-servs-auto-assn-mesuperct-2003.