Colony Ins. Co. v. NJC Enterprises, LLC
Barrasso Usdin obtained a nuisance value settlement for its client, Colony Insurance Co., just weeks before trial through a magistrate-conducted mediation. The case arose from cancellation of a commercial general liability policy due to nonpayment of a premium. The insured alleged the policy was improperly cancelled and counterclaimed seeking policy limits for the claim arising out of a fire to a restaurant and bad faith damages exceeding $6 million allegedly resulting from the failure to pay the fire claim based on the cancellation. Several years after suit was filed and after fact discovery was closed, Colony retained our firm. After conducting an independent investigation into the fire claim which uncovered facts refuting the claim and alleged resulting damages, Barrasso Usdin attorneys requested a mediation before a magistrate, which led to successful resolution of the case for a nominal amount.