Schmidt v. Allstate Insurance Company

Opinion

HONORABLE RONALD B. LEIGHTON UNITED STATES DISTRICT COURT

BRIONNA SCHMIDT, Plaintiff, No. 3:19-cv-05589-RBL v. ORDER GRANTING PLAINTIFF’S MOTION FOR SUMMARY JUDGMENT ALLSTATE INSURANCE COMPANY, REGARDING ALLSTATE’S AFFIRMATIVE DEFENSES ALLEGING Defendant. SETTLEMENT

This matter comes before the Court on Plaintiff Schmidt’s Motion for Summary Judgment Regarding Allstate’s Affirmative Defenses Alleging Settlement. Having reviewed Schmidt’s motion, Allstate’s response and Schmidt’s reply, the Court makes the following findings: 1. Plaintiff’s motion for summary judgment is GRANTED. 2. Allstate has the burden of proof on its affirmative defenses. Duenez v. Dakota Creek Indus. Inc., C16-1238-JCC, 2018 WL 488948, at *7 (W.D. Wash. Jan. 19, 2018) (citing Jones v. Taber, 648 F.2d 1201, 1203 (9th Cir. 1981)). Thus, Schmidt may obtain summary judgment on Allstate’s affirmative defenses by showing that Allstate lacks evidence supporting Allstate’s affirmative defenses. Id. (citing Celotex Corp. v. Catrett, 477 U.S. 317, 322–23, 106 S. Ct. 2548, 2552, 91 L. Ed. 2d 265 (1986) and Nissan Fire & Marine Ins. Co. v. Fritz Cos., 210 F.3d 1099, 1102 (9th Cir. 2000)). Once Schmidt meets this burden, Allstate must “‘come forward with specific facts showing that there is a genuine issue for trial.’” Id. (quoting Matsushita Elec. Indus. Co. v. Zenith Radio Corp., 475 U.S. 574, 587 (1986)). 3. Allstate’s third, fourth, fifth, and sixth affirmative defenses each require proof Schmidt agreed to settle and release the claims alleged in this lawsuit by accepting Allstate’s pre-litigation partial payment of Schmidt’s insurance policy benefits. See Allstate’s Answer, Dkt. No. 12, pp. 3-5 (Allstate’s affirmative defenses asserting “The parties agreed to settle and compromise the case…” and “The Parties…negotiated and settled all claims…”). 4. Washington law determines whether Schmidt agreed to release her insurance bad faith claims against Allstate. Evanston Ins. Co. v. Clark Cty., 10-CV-5625 RBL, 2012 WL 2068775, at *3 (W.D. Wash. June 8, 2012) (citing Jeff D. v. Andrus, 899 F.2d 753, 759 (9th Cir.1989)). Under Washington law, a settlement is a contract requiring the parties objectively manifest their agreement. Id. (citations omitted). 5. Schmidt meets her burden to show the absence of evidence supporting Allstate’s third through sixth affirmative defenses. Schmidt proffers email correspondence establishing Allstate agreed to pay part of Schmidt’s insurance benefits without requesting Schmidt release claims against Allstate. See Declaration of McKean J. Evans, Ex. A. Indeed, Allstate knew Schmidt intended to file this lawsuit but nevertheless tendered payment without requesting a release. Id. Further, Schmidt points out Allstate’s interrogatory answers and initial disclosures identify no facts or documents supporting Schmidt’s agreement to release claims against Allstate. See Dkt. No. 20-10 (Allstate’s discovery responses), p. 6 (response to Interrogatory No. 3); Dkt. No. 18 (Allstate’s initial disclosures), p. 4. 6. Allstate fails to meet its burden to “come forward with specific facts showing that there is a genuine issue for trial” regarding Schmidt’s agreement to release claims against Allstate by accepting Allstate’s pre-litigation partial insurance benefit payment. Matsushita Elec. Indus. Co., 475 U.S. at 587. Allstate identifies no objective manifestation of Schmidt’s intent to release claims against Allstate by accepting insurance benefits. Absent such evidence, Allstate cannot prove Schmidt settled or released the claims alleged in this lawsuit. Evanston Ins. Co., WL 2068775, at *3 (citations omitted). 7. Accordingly, the Court enters summary judgment in favor of plaintiff Schmidt and against defendant Allstate on Allstate’s third, fourth, fifth, and sixth affirmative defenses. IT IS SO ORDERED. Dated this 13th day of April, 2020.

A Ronald B. Leighton United States District Judge

Presented by: StandardSig

By: s/ McKean J. Evans Isaac Ruiz, WSBA #35237

McKean Evans, WSBA #52750

Plaintiff Litigation Group, PLLC 95 S. Jackson St., Suite 100

Seattle, WA 98104 Telephone: (206) 203-9100

Fax: (206) 785-1702 Email: iruiz@plaintifflit.com

Email: mevans@plaintifflit.com

Attorneys for Plaintiff Brionna Schmidt