Troyer v. Liberty Mutual Insurance Company

CourtDistrict Court, D. Nevada
DecidedOctober 25, 2021
Docket2:19-cv-01056
StatusUnknown

This text of Troyer v. Liberty Mutual Insurance Company (Troyer v. Liberty Mutual Insurance Company) is published on Counsel Stack Legal Research, covering District Court, D. Nevada primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Troyer v. Liberty Mutual Insurance Company, (D. Nev. 2021).

Opinion

2 UNITED STATES DISTRICT COURT 3 DISTRICT OF NEVADA 4 * * * 5 David Troyer, Case No. 2:19-cv-01056-APG-DJA 6 Plaintiff, 7 Order v. 8 Liberty Mutual Insurance Company, et al., 9 Defendants. 10 11 12 This is an insurance bad faith action arising out of an ATV rollover accident. Plaintiff 13 David Troyer sues Defendants Liberty Mutual Insurance Company, Liberty Mutual Corporation, 14 and LM General Insurance company for, in part, their failure to provide sufficient underinsured 15 motorist coverage. (ECF No. 1). Plaintiff moves to strike Defendants’ answer, arguing that 16 Defendants and their counsel have been unreasonably unresponsive and uncooperative in 17 conducting discovery. (ECF No. 33). Because the Court finds that Plaintiff has demonstrated 18 sanctionable conduct, but that case dispositive sanctions are not warranted, it grants the motion in 19 part and denies it in part. The Court finds these matters properly resolved without a hearing. LR 20 78-1. 21 I. Background. 22 Plaintiff and his wife joined their friends to ride their ATVs on a dry lakebed on 23 December 12, 2018. (ECF No. 33 at 12). Plaintiff’s wife was riding as a passenger in Plaintiff’s 24 ATV while it was being driven by third-party Emily Balanay. See id. Balanay accelerated and 25 made a sharp turn, causing the ATV to flip and roll, causing Plaintiff’s wife severe injuries and 26 resulting in the amputation of her right forearm. See id. Balanay’s insurance was insufficient to 27 compensate Plaintiff’s wife’s medical bills, past and future pain and suffering, future medical 1 treatment, or Plaintiff’s psychological and emotional damage. See id. On April 24, 2019, 2 Defendant denied Plaintiff coverage.1 See id. at 14. 3 A. Timeline of the parties’ participation in discovery 4 Along with the facts underlying the claims in the lawsuit, Plaintiff’s and Defendants’ 5 explanation of the discovery timeline displays a troubling lack of communication from 6 Defendants. 7 May 6, 2021 Plaintiff’s counsel calls Defendants’ counsel to discuss 8 Defendants’ responses to written discovery and depositions. 9 Plaintiff’s counsel continues to call Defendants’ counsel for two weeks with no response. (ECF No. 33 at 14-18). 10 However, Defendants’ counsel—Michael Dissinger— asserted in his declaration that he did not receive daily calls 11 or voicemails. (ECF No. 35-2 at 4).

12 May 11 or 20, 2021 Defendants’ counsel asserts that he and Plaintiff’s counsel 13 spoke regarding depositions on May 11, 2021. See id. Plaintiff’s counsel asserts that he did not reach Defendants’ 14 counsel until May 20, 2021. (ECF No. 33 at 14-18).

15 May 12, 2021 Defendants’ counsel asserts that he received an email from Plaintiff’s counsel accusing him of failing to communicate 16 for two months, despite the call the day before. (ECF No. 17 35-2 at 4). Defendants’ counsel does not explain whether he responded to this email. 18 May 26 or 27, 2021 The parties meet and confer to discuss depositions. See id; 19 (ECF No. 33 at 14-18).

20 June 7 or 10, 2021 The parties meet and confer to discuss depositions and come 21 to a tentative agreement to take depositions of Brant, Katharine Houlihan, and Defendants’ 30(b)(6) witness on 22 July 21, 2021. See id. Plaintiff’s counsel requested Defendants’ help in reaching Brant and Houlihan. See id. 23 Defendants’ counsel appears to assert that this communication took place on June 10, 2021 and that in that 24 meeting, he discussed that Houlihan—as a 30(b)(6) 25

26 1 Plaintiff adds certain facts related to his bad faith claim against Defendants, including his 27 allegation that a representative of Defendants impermissibly contacted him—and not his attorney—while he was represented. However, because these facts have no bearing on the witness—needed to appear remotely. (ECF No. 35-1 at 2- 1 3). 2 June 14, 2021 Plaintiff’s counsel served deposition notices for Brant, 3 Houlihan, and Defendants’ 30(b)(6) witness via mail and sent courtesy copies to Defendants’ counsel via email. 4 (ECF No. 33 at 14-18). These notices included a notice for a 30(b)(6) designee, Houlihan, and Brant. See id. at 50. 5 Defendants’ counsel asserts that there was no “specific 6 understanding Ms. Houlihan would also serve in the capacity as the representative witness.” (ECF No. 34 at 6). 7 The notices for Houlihan and Brant were for remote depositions, the notice for the 30(b)(6) witness specified that 8 the deposition would be in person. (ECF No. 35-2 at 5).

9 June 21, 2021 Plaintiff’s counsel emailed Defendants’ counsel asking for 10 help in reaching Brant and Houlihan. (ECF No. 33 at 14- 18). Plaintiff’s counsel did not receive a response. See id. 11 Between June 21, 2021 and July 20, 2021, Plaintiff’s counsel sent ten follow up emails, none of which were 12 acknowledged. See id.

13 July 20, 2021 Defendants’ counsel called Willoughby—who was out of 14 town for his wedding—and emailed Saggese, stating that Brant would be available for a deposition on July 29th or 15 30th and that Houlihan could be available on August 5th or 6th without a subpoena. See id. Defendants’ counsel added 16 that Houlihan “is available to appear in her individual capacity and as a representative (30(b)(6)) witness on either 17 of those dates.” See id. at 60. Plaintiff asserts that this was 18 the first time that Defendants’ counsel disclosed that Houlihan would be the 30(b)(6) witness.2 See id. at 79. 19 Defendants’ counsel did not acknowledge the previously unanswered emails. See id. at 60. 20 July 21, 2021 The in-person 30(b)(6) deposition went forward as a non- 21 appearance. See id. at 14-18. The remote deposition of 22 Brant went forward. Id. The deposition of Houlihan went forward as a non-appearance. See id. Houlihan appeared 23 remotely because, as Defendants’ counsel explains, he had 24

25 2 Defendants disputes this assertion but provides no written confirmation that they had established Houlihan as the 30(b)(6) witness. Compared with Plaintiff’s counsel’s emails—one of which 26 Defendants’ counsel responded to, confirming that he understood that Plaintiff wished to depose a 27 30(b)(6) witness who was not Houlihan—and notices, Defendants’ counsel’s assertions that the parties had previously discussed deposing Houlihan in a 30(b)(6) capacity is unconvincing. (ECF informed Plaintiff that Houlihan would be appearing as the 1 30(b)(6) witness. (ECF No. 35-1 at 4). It appears that 2 Houlihan appeared via a Zoom link that Defendants’ office sent Plaintiff’s counsel without context on the day of the 3 deposition, to which Plaintiff’s counsel responded via email “It is not by Zoom. It is an in-person deposition. Why did 4 you send that out?” (ECF No. 33 at 74-75). Defendants’ office did not respond to that email. See id. Regarding why 5 Plaintiff’s counsel did not believe Houlihan to be a proper 6 30(b)(6) witness, Plaintiff’s counsel put on the record at the non-appearance that she: “is not a viable or legitimate 7 30(b)(6) witness, as she is a percipient witness herself in this case, who herself was engaged in misconduct in the 8 underlying case. The evidence of this is in the transcript of Katherine Houlihan’s discussion with the at-fault party, 9 Emily Balanay…Katherine Houlihan was providing her 10 advice and counsel against her own insured, my client [Plaintiff and his wife].” Id. at 76-79. 11 July 23, 2021 Defendants’ counsel sent Plaintiff’s counsel a letter 12 asserting that Houlihan is an appropriate 30(b)(6) witness and asking Plaintiff’s counsel to provide authority to 13 support Plaintiff’s counsel’s objection. (ECF No. 35-14). 14 July 29, 2021 Plaintiff’s counsel called Defendants’ counsel and both 15 parties agreed that, unless the case resolved, the 30(b)(6) deposition and the deposition of Houlihan would go forward 16 on August 20, 2021. (ECF No. 33 at 14-18).

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Troyer v. Liberty Mutual Insurance Company, Counsel Stack Legal Research, https://law.counselstack.com/opinion/troyer-v-liberty-mutual-insurance-company-nvd-2021.