Sovereign General Insurance Services v. Scottsdale Insurance Company et al

Filing 225

STIPULATION and ORDER 222 signed by Judge Morrison C. England, Jr on 12/21/10 ORDERING the entry of judgment in favor of Scottsdale Parties against Defts. The Court shall enter final judgment in favor of Western Heritage and against Deft in the amo unt of at least $1,022,985.56 and shall add to this amount an award of successful party attorneys' fees, if any, in favor of the Scottsdale Parties and against Defts, consistent with its ruling on the Scottsdale Parties' Renewed Motion for Attorneys' Fees. CASE CLOSED. (Owen, K)

Sovereign General Insurance Services v. Scottsdale Insurance Company et al

Doc. 225

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ANTHONY J. BARRON, State Bar No. 150447 [e-mail] MATTHEW A. RICHARDS, State Bar No. 233166 [e-mail] NIXON PEABODY LLP One Embarcadero Center, 18th Floor San Francisco, California 94111-3600 Telephone: [phone] Facsimile: [phone] Attorneys for SCOTTSDALE INSURANCE COMPANY; NATIONAL CASUALTY COMPANY; SCOTTSDALE INDEMNITY COMPANY; WESTERN HERITAGE INSURANCE COMPANY; and R. MAX WILLIAMSON UNITED STATES DISTRICT COURT EASTERN DISTRICT OF CALIFORNIA SOVEREIGN GENERAL LIFE INSURANCE SERVICES, INC., a California corporation, Plaintiff, vs. SCOTTSDALE INSURANCE COMPANY, an Ohio corporation; NATIONAL CASUALTY COMPANY, a Wisconsin corporation; SCOTTSDALE INDEMNITY COMPANY, an Ohio corporation; WESTERN HERITAGE INSURANCE COMPANY, and Arizona corporation; R. MAX WILLIAMSON an individual; JOSEPH A. LUGHES, an individual, Defendants. WESTERN HERITAGE INSURANCE COMPANY, an Arizona corporation, Plaintiff, vs. SOVEREIGN GENERAL LIFE INSURANCE SERVICES, INC., a California corporation; MARTIN F. SULLIVAN, SR. and GLORIA SULLIVAN, husband and wife, guarantors, Defendants. Case No. 2:05-CV-01389-MCE-DAD (Consolidated with 2:05-CV-00312-MCE-DAD) Case No. 2:05-CV-00312-MCE-DAD (Consolidated with 2:05-CV-01389-MCE-DAD) STIPULATION AND ORDER FOR ENTRY OF JUDGMENT CONSISTENT WITH JURY VERDICT, JUDGMENT, NINTH CIRCUIT MANDATE, AND AWARD, IF ANY, OF SUCCESSFUL PARTY ATTORNEYS' FEES [Fed. R. Civ. P. 54, 58, 83; E.D. Cal. L.R. 143] Complaint Filed: Judgment Entered: April 12, 2005 October 7, 2008

STIPULATION AND [PROPOSED] ORDER FOR ENTRY OF JUDGMENT CASE NO. 2:05-CV-00312-MCE-DAD

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Dockets.Justia.com

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Scottsdale Insurance Company, National Casualty Company, Scottsdale Indemnity Company, Western Heritage Insurance Company ("Western Heritage") and R. Max Williamson (collectively, "the Scottsdale Parties"), on the one hand, and Defendants Sovereign General Insurance Services, Inc. ("Sovereign) and Martin F. Sullivan, Sr. and Gloria Sullivan (collectively "the Sullivans") (collectively "Defendants"), on the other hand, hereby stipulate, by and through their counsel of record, as follows: RECITALS WHEREAS, on October 1, 2008, the jury in the related civil cases before this Court, entitled Sovereign Gen'l Ins. Servs., Inc. v. Scottsdale Ins. Co., et al. (E.D. Cal. Civil Case Nos. 2:05-CV00312-MCE-DAD and 2:05-CV-01389-MCE-DAD) ("Action"), returned a verdict for Western Heritage and against Defendants on all of Western Heritage's claims, and awarded Western Heritage damages in the amount of $715,113.29; and WHEREAS, on October 7, 2008, this Court entered judgment against Defendants consistent with the jury verdict; and WHEREAS, on October 17, 2008, following this Court's entry of judgment, Western Heritage moved for an award of pre-judgment interest in the amount of $307,872.27, which was denied on January 7, 2009; and WHEREAS, Sovereign timely appealed to the Ninth Circuit (9th Cir. Case No. 08-17422) from this Court's order granting summary judgment to the Scottsdale Parties on Sovereign's affirmative claims and counterclaims in this Action, and from the judgment against it following the jury trial on Western Heritage's claims; and WHEREAS, the Sullivans timely appealed to the Ninth Circuit (9th Cir. Case No. 08-17424) from this Court's judgment against it following the jury trial on Western Heritage's claims; and WHEREAS, Western Heritage timely appealed to the Ninth Circuit (9th Cir. Case No. 0915246) from this Court's order of January 7, 2009, denying its motion for pre-judgment interest; and /// /// -1STIPULATION AND [PROPOSED] ORDER FOR ENTRY OF JUDGMENT CASE NO. 2:05-CV-00312-MCE-DAD Error! Unknown document property name.

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WHEREAS, on April 8, 2010, the Ninth Circuit issued its Memorandum decision in the consolidated appeals, affirming this Court's summary judgment ruling dismissing Sovereign's claims and counterclaims against the Scottsdale Parties and reversing and remanding this Court's denial of Western Heritage's pre-judgment interest motion; and WHEREAS, on April 30, 2010, the Ninth Circuit's Mandate issued; and WHEREAS, on March 31, 2010, Sovereign's involuntary Chapter 7 bankruptcy proceeding (Bankr. E.D. Cal. Case No. 09-39673-A-7) was closed by the United States Bankruptcy Court in and for the Eastern District of California ("Bankruptcy Court") by entry of its Final Decree; and WHEREAS, on August 26, 2010, the Bankruptcy Court granted Western Heritage's motion for leave to modify the automatic stay in the Sullivans' Chapter 7 bankruptcy proceeding (Bankr. E.D. Cal. Case No. 09-38120-B-7 to allow this Court to enter final orders and judgment in this Action, including ruling on the Scottsdale Parties' Renewed Attorneys' Fees Motion, filed concurrently herewith and set for hearing on January 13, 2001; and WHEREAS, the Scottsdale Parties and Defendants wish to finally resolve this Action consistent with: the jury verdict of October 1, 2008; the judgment of October 7, 2008; the Ninth Circuit's mandate with respect to an award of prejudgment interest to Western Heritage; and this Court's award of successful party attorneys' fees, if any, pursuant to the Scottsdale Parties' Renewed Attorneys' Fees Motion, filed concurrently herewith;

STIPULATION

THEREFORE, IT IS STIPULATED between the Scottsdale Parties and Defendants as follows: 1. Final judgment shall be entered in favor of the Scottsdale Parties and against

Defendants in this matter following this Court's ruling on Western Heritage's Renewed Motion for Attorneys' Fees, filed concurrently herewith. /// -2STIPULATION AND [PROPOSED] ORDER FOR ENTRY OF JUDGMENT CASE NO. 2:05-CV-00312-MCE-DAD Error! Unknown document property name.

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2.

The final judgment to be entered in favor of the Scottsdale Parties and against

Defendants shall include the principal amount of damages awarded by the jury at trial to Western Heritage, $715,113.29, consistent with this Court's entry of judgment on October 7, 2008. 3. The final judgment to be entered in favor of the Scottsdale Parties and against

Defendants shall include an award of pre-judgment interest to Western Heritage in the amount of $307,872.27, consistent with the Ninth Circuit's Memorandum decision of April 8, 2010, and its mandate reversing and remanding for further proceedings this Court's denial of Western Heritage's motion for pre-judgment interest. 4. The final judgment to be entered in favor of the Scottsdale Parties and against

Defendants shall include an award of successful party attorneys' fees, if any, consistent with this Court's ruling on the Scottsdale Parties' Renewed Attorneys' Fees Motion, filed concurrently herewith. 5. This Court shall enter final judgment in favor of Western Heritage and against

Defendants in the amount of at least $1,022,985.56--the combined amount of damages and prejudgment interest described herein--and shall add to this amount an award of successful party attorneys' fees, if any, in favor of the Scottsdale Parties and against Defendants, consistent with its ruling on the Scottsdale Parties' Renewed Motion for Attorneys' Fees, filed concurrently herewith. /// /// /// /// /// /// /// /// /// /// -3STIPULATION AND [PROPOSED] ORDER FOR ENTRY OF JUDGMENT CASE NO. 2:05-CV-00312-MCE-DAD Error! Unknown document property name.

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6.

By entering into this Stipulation, the Scottsdale Parties and Defendants waive all

further rights of appeal and agree that entry of final judgment by this Court consistent with the terms of this Stipulation shall be binding upon each of them. IT IS SO STIPULATED. DATED: December 15, 2010 NIXON PEABODY LLP

By:

/s/ Matthew A. Richards Anthony J. Barron Matthew A. Richards Attorneys for SCOTTSDALE INSURANCE COMPANY; NATIONAL CASUALTY COMPANY; SCOTTSDALE INDEMNITY COMPANY; WESTERN HERITAGE INSURANCE COMPANY; and R. MAX WILLIAMSON

DATED: December 15, 2010

LAW OFFICES OF DOMINIC G. FLAMIANO

By:

/s/ Dominic G. Flamiano Dominic G. Flamiano Attorneys for SOVEREIGN GENERAL INSURANCE SERVICES, INC.; MARTIN F. SULLIVAN, SR.; and GLORIA SULLIVAN

IT IS SO ORDERED. Dated: December 21, 2010 __________________________________ MORRISON C. ENGLAND, JR UNITED STATES DISTRICT JUDGE

-4STIPULATION AND [PROPOSED] ORDER FOR ENTRY OF JUDGMENT CASE NO. 2:05-CV-00312-MCE-DAD Error! Unknown document property name.