Ballowe v. Allied Insurance

Filing 48

ORDER granting 41 Motion for Summary Judgment, as to the second claim for relief, and administratively closing this action, by Judge Richard P. Matsch on 4/4/14.(dkals, )

IN THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF COLORADO
Senior District Judge Richard P. Matsch
Civil Action No. 10-cv-01738-RPM
TERRENCE BALLOWE,
Plaintiff,
v.
DEPOSITORS INSURANCE COMPANY,
Defendant.

______________________________________________________________________________
ORDER DISMISSING SECOND CLAIM FOR RELIEF AND FOR ADMINISTRATIVE
CLOSURE
_____________________________________________________________________
This civil action was filed in the District Court, City and County of Denver, Colorado, and
removed to this court under diversity jurisdiction. The plaintiff alleges a breach of contract by
Depositors Insurance Company’s failure to pay for a fire loss under the insurance policy issued
to the plaintiff. The second claim for relief is bad faith breach of insurance contract. The case
has been stayed since September 30, 2010, because of a pending criminal proceeding on
charges of arson. The plaintiff, Terrence Ballowe, was convicted of first and third degree arson
and the stay order was vacated on November 12, 2013. The defendant filed a motion for
summary judgment on January 8, 2014, [41]. The basis for that motion is that the subject
insurance policy includes an Intentional Loss Exclusion which is applicable because of the
conviction for arson. The plaintiff responded to that motion, contending that under Colorado law
there is no final judgment because the sentencing hearing has not been held and the plaintiff
may appeal his conviction. In its reply, the defendant concedes that point of law but asserts that
the second claim for relief should be dismissed because clearly the insurance

company had a reasonable basis for denying the claim based on the exclusion. The Court
agrees with that contention and, accordingly, it is
ORDERED that the defendant’s motion for summary judgment is granted as to the
second claim for relief which is dismissed and it is
FURTHER ORDERED that because there is not yet a final judgment in the criminal
case, this civil action is administratively closed under D.C.Colo.LCivR 21.2.
Dated:

April 4th, 2014
BY THE COURT:
s/Richard P. Matsch
________________________________
Richard P. Matsch, Senior District Judge

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