McDonough v. Normand M. Methot Insurance, Inc.

CourtSuperior Court of Maine
DecidedApril 26, 2016
DocketYORcv-14-62
StatusUnpublished

This text of McDonough v. Normand M. Methot Insurance, Inc. (McDonough v. Normand M. Methot Insurance, Inc.) 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
McDonough v. Normand M. Methot Insurance, Inc., (Me. Super. Ct. 2016).

Opinion

STATE OF MAINE SUPERIOR COURT YORK, SS. CIVIL ACTION DOCKET NO. CV-14-62

COLEMAN MCDONOUGH,

Plaintiff,

v. ORDER

NORMAND M. METHOT INSURANCE, INC., ERINN FORTUNE, and NICKOLAI FORTUNE,

Defendants.

I. Background

A. Procedural Posture

Plaintiff Coleman McDonough ("McDonough") brings this action against

Normand M. Methot Insurance, Inc. ("Methot") and Erinn and Nickolai Fortune ("the

Fortunes"). McDonough alleges claims for negligence arising out of a fire loss that

occurred at 7 Allen Street in Sanford. Before the court is defendant's motion for

summary judgment. The Fortunes have not answered or appeared in this action and have

been defaulted.

B. Facts

Plaintiff Coleman McDonough is the owner of real property located at 7 Allen

Street in Sanford. (Def.'s S.M.F. ~ 2.) In June of '.2013, McDonough called Brian A.

1 Methot, an insurance agent at Methot Insurance Agency, Inc., to discuss available fire

insurance policies for the property. (Def. 's S.M.F. ~ 4.)

During this conversation, Brian Methot informed McDonough that an inspection

would take place. (Def.'s S.M.F. ~ 5.) Brian Methot performed said inspection, taking

pictures and documenting conditions at the 7 Allen Street property, noting missing

windows and a seemingly "active pigsty." (Def.'s S.M.F. ~ 7.) According to Brian

Methot, the condition of the property was "very poor," but McDonough denies this

assessment. (Pl.'s Opp. Def.'s S.M.F. ~ 7.) As a result of the inspection, Brian Methot

concluded the condition of the property was so poor that it was uninsurable. (Def.' s

S.M.F. ~ 8.)

Brian Methot thereafter attempted to contact McDonough to inform him about the

inspection and his conclusions regarding the insurability of the property. (Def.'s S.M.F. ~

9.) Methot called McDonough on June 7, 2013, and again on June 12 and 13, each time

leaving messages indicating that he could not insure the property and requesting

McDonough call back to discuss the matter. (Def.' s S.M.F. ~ 10.) McDonough never

returned these calls.

McDonough has no memory of Brian Methot calling him after the initial

conversation. 1 (Pl.'s Opp. Def.'s S.M.F. ~~ 9-12.) According to McDonough, during that

first conversation, Brian Methot told him that anything is insurable and to "consider the

property bound." (Pl.'s Add't S.M.F. ~~ 1-2.)

Methot did not submit a policy application and McDonough made no payments to

Methot to bind coverage: (Def.'s S.M.F. ~~ 14-15.) Ultimately, no policy was ever issued

1 For the purposes of summary judgment, the court accepts the plaintiffs version of the facts. This factual dispute is not ultimately material for the reasons set forth below.

2 to cover the 7 Allen Street property. (Def.'s S.M.F. ,r 12.) When McDonough failed to

return messages, Methot assumed McDonough no longer wished to obtain insurance

coverage for the property. (Def.'s S.M.F. ,r 13.)

On September 5, 2013, a fire damaged the property. (Def.'s S.M.F. ,r 3.) The fire

originated at 5 Allen Street, a property owned by the Fortunes. The structures on 5 and 7

Allen Street are connected.

II. Discussion

A. Summary Judgment Standard

Summary judgment is appropriate "if the pleadings, depositions, answers to

interrogatories, and admissions on file, together with the affidavits . . . show that there is

no genuine issue as to any material fact . . . and that any party is entitled to a judgment as

a matter of law." M.R. Civ. P. 56(c). "To avoid a judgment as a matter of law for a

defendant, a plaintiff must establish a prima facie case for each element of her cause of

action." Champagne v. Mid-Me. Med. Ctr., 1998 ME 87, ,r 9, 711 A.2d 842. "A prima

facie case of negligence requires a plaintiff to establish the following elements: a duty

owed, a breach of that duty, and an injury to the plaintiff that is proximately caused by a

breach of that duty." Brown v. Delta Tau Delta, 2015 ME 75, ,r 40, 118 A.3d 789

(citation omitted) (quotation marks omitted).

The defendant moves for summary judgment arguing that (1) the plaintiff has no

expert to testify to the standard of care, (2) the undisputed facts establish defendant met

any applicable standard of care, and (3) plaintiff fails to produce prima facie evidence

that any negligence was the cause of his damages.

3 B. Expert Testimony

Defendant first moves for summary judgment on the basis the plaintiff has not

designated an expert to testify to the applicable standard of care and thus there is no

prima facie evidence of breach.

The Law Court has yet to hold that expert testimony is required in insurance

procurement cases like other professional negligence cases such as legal or medical

malpractice. The general rule is that expert testimony is not required "where the

negligence and harmful results are sufficiently obvious as to lie within common

knowledge." Searles v. Trs. ofSt. Joseph's Coll., 1997 ME 128, ,r 10, 695 A.2d 1206

(citation omitted).

According to McDonough, Brian Methot expressly represented that the property

was "bound," but failed to make direct contact thereafter to inform McDonough the

prope1iy was not in fact insured. Whether Mr. Methot exercised reasonable care under

these circumstances is within the ability of a layperson, untrained in insurance, to

understand.

But even if expert testimony is not required, a plaintiff must still present some

evidence of causation between the insurance agent's alleged breach and the piaintiff s

damages. See Tri-Town Marine, Inc., 2007 ME 67, ,r 10, 924 A.2d 1066. This is

examined further below in Part D.

C. Breach

Defendant argues the undisputed facts establish that the defendant exercised

reasonable diligence as a matter of law and therefore the plaintiff has not made a prima

4 facie showing of breach. Defendant emphasizes that Brian Methot tried but was unable to

secure insurance for the property due to its condition and made multiple efforts to contact

McDonough thereafter.

"An insurance agent generally assumes only those duties found in an ordinary

agency relationship, that is, to use reasonable care, diligence and judgment in obtaining

the insurance coverage requested by the insured party." &elenyi v. A1orse, Payson &

Noyes Ins., 594 A.2d 1092, 1094 (Me. 1991). A reasonable fact-finder could well

conclude that Brian Methot's actions met the standard of care. But drawing all reasonable

inferences in favor of the plaintiff, the court cannot reach this conclusion as a matter of

law because breach is a question of fact. Brown, 2015 ME 75, ~ 29, 118 A.3d 789.

Summary judgment is inappropriate on this basis.

D. Causation

"For causation to be established in [negligent failure to procure insurance cases],

the plaintiff must allege that, but for the defendant's acts, the resulting outcome for the

plaintiff would have been both different, and more favorable." Tri-Town M.arine, Inc.,

2007 ME 67, ,i 10, 924 A.2d 1066.

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Related

Searles v. Trustees of St. Joseph's College
695 A.2d 1206 (Supreme Judicial Court of Maine, 1997)
Champagne v. Mid-Maine Medical Center
1998 ME 87 (Supreme Judicial Court of Maine, 1998)
Szelenyi v. Morse, Payson & Noyes Insurance
594 A.2d 1092 (Supreme Judicial Court of Maine, 1991)
Elizabeth Brown v. Delta Tau Delta
2015 ME 75 (Supreme Judicial Court of Maine, 2015)
Tri-Town Marine, Inc. v. J.C. Milliken Agency, Inc.
2007 ME 67 (Supreme Judicial Court of Maine, 2007)

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