The S.O. Beach Corp. et al v. Great American Insurance Company of New York

Filing 125

ORDER granting Defendant's Motion for Summary Judgment and Denying Plaintiffs' Motion for Partial Summary Judgment. Signed by Judge Federico A. Moreno on 4/10/2018. (da00)

UNI
TED STATES DI
STRI COURT FOR THE
CT
SO UTH ERN D I
STRI O F FLORI
CT
DA
M i m iD i s on
a
vi i
C as N um be 17e
r: 22254- I - O RE NO
C V M

THE S. BEACH CORP.a LARI ON
O.
nd
OS
TH E BEA CH ,I C.
N ,
Pl ntfs
ai if ,
VS.

GREA T A M ERI N I SUR AN CE
CA N
CO M PAN Y OF N EW YO RK ,

Def nt
enda .
ORDER G RANTI DEFENDANT' M OTI N FOR SUM M ARY JUDGM EN T AN D
NG
S
O
DENYI PLAI FFS'M O TI N FOR PARTI SUM M ARY JUDGM ENT
NG
NTI
O
AL
-

-

1. I
NTRODUCTI
ON

A s a r s t of a lnge i i ur nce c r di put , t S. . Be c Cor a i a
e ul
i rng ns a
ove age s e he O
ah
por ton nd

La i on t Bea h,I fld t s a ton a ns Gr a Am e i a l ur nc Com pa ofNe
ros
he
c nc. ie hi c i gai t e t
rc n ns a e
ny
w
Y or s e ng cove a f da a t t rM i m iBe h pr pe t . Folow i di c r G r a
k, e ki
r ge or m ge o hei a
ac o ry
l ng s ove y, e t

Ameian fld a moton f s
rc ie
i or ummay j
r udgme ,a g ng t tt a i bl i u a e polc
nt r ui ha he pplca e ns r nc iy
pr de no c
ovi s
over ge f t alege pr pe t da a . Pl ntf s f l d a cr s m oton f pari
a or he l d o ry m ge ai if ie
os - i or tal

s mmayj dg n a t Gr a Ameia sc v r g d fn e ,c n e dng ta te alg d l s
u r u me t s o e t rc n' o e a e e e s s o tn i h t h le e o s
m a e i lze dur ng t polc pe i Fort r as di c s d bel , Gr a Am e i a s m oton
t r a i d i he i y rod.
he e ons s us e
ow
et
r c n'
i

f rs mmayj d me ti GRANTED a d Pli tfs mo in f rpa t ls mmay j d me ti
o u r ug n s
n anif' to o ri u r u g n s
a
DEN I .
ED
l FACTUAL BACKGROUND
I.

The S. .Bea h Cor a i a La i on t Be h, I own a t e sor buidi
O
c
por ton nd r os
he ac nc.
hr e-t y l ng

(lheBuidi )on M i Bea h' i cOc n Drve.TheBuidi wasc tuce i 1
i
t
l nf'
ami e s coni ea i
l ng
onsr td n 930
a Pl ntf spur has d i i 1 . Pl i if ope a e a r t ur ntoutofisfr tfoor
nd ai if
c e t n 992 a ntf s r t es a a
t is l .

A . B ef t Polcv Peri
ore he i
od

I 201 Pl ntf s r t i
n
0, ai i f e a ned O p i us St u t a D e i LLC t vi ua l i pec t
tm
r c ur l s gn
o s ly ns t he

Buidi a e l t is sr t al c
l ng nd vauae t tucur omponent. Optmuss i pe t s di c r t t t
s
i ' ns c or s ove ed ha he
Buidi swood fa i a f
l ng'
r m ng nd ounda i s
tons howed S i ofs tlm e and s ve e d lc i .''
' gns
s
e te nt
e r efe tons

t t Mot a 2,Exhi tA a 4. Folowi isi pe ton,Optmusdr td arpor sai t
Deos . t
bi t ) l ng t ns ci
i
afe e t ttng hat

()tex sig snltrlme e s( o fa n pe s fu d to )i t ekth na so a e
i ' j itn t cu a mb r wo d rmig, ir, o n ains n h ic e nd tr g
g
ae mus beri oredgl'(i tglr t alfa ngi t aea wihdefe insma ha t be
ras t enf c ,' i) sstucur rmi n he r s t lcto
y ve o

ee ae wi h d a i jc st iso iia p st ngj' n (i éth c re tc n iin o t
lv td t y rul a k o t rgn l o io ,'a d i) s l e u rn o dto f he
h
c
i
i l
i e i rfami whi ha sgnsofs r defe tonshast be a es e a s on aspos i e.''
ntro r ng ch s i
eve e l c i
o
ddr s d s o
sbl

( fsM ot a 2,Exhi tA a 4. De pieOptmus' rc
De '
.t
bi t ) s t
i s e omme tons Pli if di nottke
ndai , antfs d
a
a a ton t c e t s s r t a i s untl201
ny c i o ur he e tuc ur l s ues i
2.

On M a ch l 2011 Gr a Am e i n be n i urng t Buidi undera s r t polc
r ,
, et
rca ga ns i he l ng
epa a e i y
unr ae t t polc a is I cor c i wih t tpolc Gr a Am e i a c
eltd o he i y t s ue. n me ton t ha i y, e t
rc n onduc e a l s
t d os
pr ve i i pe ton oft Buidi i M a 2011.The i pe ton r por gr de t Buidi s
e nton ns c i
he l ng n y
ns c i e t a d he l ng'
c tuc i qualt a t
onsr ton
iy s d
good' a i c t t tt r wasno e de ofwa e da e a
' nd ndi aed ha he e
vi nce
t r mag nd
t tPli tfswer a oprael c r lng e
ha a n if
e ppr it y ontoli xpos et l s
ur o os .
On Febr r 21 201 Pl i if onc ag n r t ne Optm us t f nih snlt a
ua y , 2, antfs
e ai eai d
i
o ur s t c ur l
engi e i s r i e . Ac r ng t t e
ne rng e v c s
co di o he ngage e lte , Optmus a ee t de i t
m nt et r
i
gr d o sgn he
S e r sr ur r pais f t de e i a e exi tng s nz t a e e e s unc r d d i
f quied tuct al e r or he t ror t d
r
si t c ur l l m nt
ove e ur ng

(i i pe ton pr es a outi i ouri peci r por dae Se e r3,201 ' ( fs
sc) ns ci oc s nd lned n
ns ton e t td ptmbe
0. De '
5
M ot a 2,Exhi tB a l. Optmuspef d t i peci on Aprl26,201 a notd t
.t
bi t ) i
ronne he ns ton
i
2 nd e he
f l ng i isi pe i r por :
olowi n t ns cton e t

( )Al exitng j ss a 1 T&G wood s ahi i boh
l l si oit nd x6
he t ng n t
kiche aedee i ae (ote a r r r ac me .
t ns r trortd r td) nd equie epl e nt
( Twoe si c rt be mswer o e ve i t ca s c
2)
xitng oncee a
e bsr d n he rwl pa e
w hi s
ch uppor e s i l bea i w a l oft c rdo s ...
t xi tng oad rng ls he or i r .
The e be s a
s am ppea t be i f i c ton.
ro
n a r ondii

( Shorng a r s i mus be i tle a per atc d
3) i nd e-horng
t
nsald s
ta he
digrm.I i rcommende t tonepa toft kiche i (i)
a a ts e
d ha
r he t n s sc
cl
osed.

( ' M o.a 2,Exhi tD a 2. Pli if i t ld tmporr s rng i J 201 purua t
Defs t t
bi t ) antfs nsale e ay ho i n une 2 s nt o
Optm us sr c m e tons
i ' e om nda i .

Pli if s e nty t r i t d Optmusa e
antfs ubs que l e m na e
i
nd ngage Hil a Engi e i t pr de
d lm n
ne rng o ovi
pr e sona e nee i s vies a e l t t r par plns dr hed by Optmus Hil n
of s i l ngi rng er c nd va uae he e i a
a
i . lma

a re t l x miet ee itn sr cu a ee n so teg idn lt d tr n i tes o ea
g e d o i a n h x sig tu t rl lme t f h Bul ig o eemie f h c p s
e
pr edby g i li s tcen a ale
opos
optmus s ufi i t nd l ncompa sng.'( fsMot a 2,Exhi tF a 2. I
s i ' De
.t
bi t ) t
a s a e t pr
l o gr ed o oduc a c pl t bi pac e s t tPl ntf s c d d a n com pe ii bi
e om e e d kag o ha ai i f oul s i
obt
ttve ds

f t r onsr tonoft buidi '( fsMot a 2,Exhi tF a 2.
or he ec tuci
he l ng.'De ' . t
bi t )
Rona d Be on of Hil an Eng ne r ng i pec e t Buidi on O c o r 18 201
l
ns
lm
i e i ns t d he
l ng
t be , 2.

Be o t n e l Ri r Dopi Chi Cor a e Counci f t S. Bea h Com . t
ns n he maied ca do
co
ef por t
l or he O. c
o

if nn hm ta te is e to ie tfe i a gng j it a d ae s o d c ig't a h d
no
i h t h n p cin d n iid i g i oss n ra f e kn ' h t a
s
c eel r td o a t tt Buidi r uie a tonals i ( fsM o.a 2,Exhi t
omplt y ote ut nd ha he l ng eq rd ddii
horng. De' t t
bi
G a 1. Bens as sae i hi e i t t(hee si condii oft sr t epos alf
t )
on lo ttd n s mal ha C xitng
t
ton he tucur es ie
s ft ha r a t s i we ha s iid ne t be pu i pl e i ditl ' (#.
aey zad nd he horng
ve pecfe eds o
t n ac mme aey. f )
'
Sho ty a t rBe on s ntt s e a l Pl i if t r i t d t rag ee e w ih H il a
r l f e ns e hi m i, a ntf s e m na e hei r m nt t lm n.
B. D uri t Polcv Peri
nz he i
od

OnM ac 1 201 t Pli if'i u a epolcy($ 3Polc 'we i oefc.Gr t
rh , 3,he antfs ns r nc i 6
201 iy' nt nt fe t ea
)
A m e i n pr vi l i ur t s m e pr t under t o cons c i ye l
rca
e ous y ns ed he a
opery
w
e utve arong polc e
ii s
c m e i on M a c 1 2011 a M a ch 1, 201 How e r Pl ntf s Com pl i a l es
om nc ng
rh ,
nd
r
2.
ve , ai i f '
a nt leg
l sesunderonl t 2013 Polcy.
os
y he
i
One m ont l er Pl ntf s r ai
h at , ai i f et ned Thom as M oe of TH M St uct
r ural Cons tng t
uli o
eval e t condii oft Buidi I hi A pr l 10,2013 engagem entl t ,M oe expl ned
uat he
ton
he
l ng. n s
i
eter
ai

t tSll s opeofourwor wilbet i ntf t c us oft sr t a dei e e wihi t
ha sthe c
k l o de iy he a e he tucur l fcincis t n he
3-t ' buidi s cfc l rltd t t i e i oft sr t e.'( tsRep.t PlsM ot a
sol l ng pe iialy eae o he ntror he tucur ' De> s o '
y
.t
3

2,Exhi tW a 1)He noe i t s lte t kg iua o e v to oft cu rntis s
bi t .
td n he ame etr hat 'vls l bsr ains he re sue
i l
nc ude:s ggi t li a dete ton ofi e i toor a c rdo s c ac ng ofi e i rw als
a ng, itng, nd l c i
nt ror l s nd or i r ; r ki
nt r o
l

wihi c rdor' (d. Durng t i pe ton on Aprl 1 201 M oe alege y dicovee a
t n ori . 1 4 i he ns ci
'
i 9, 3,
l dl s rd
h is l .
d t r o a i sl pl t 1on t e fr tfoor H e r om m e d t tPl i i f cl e t r s a a a
e e i r tng il a e
ec
nde ha a ntf s os he e t ur nt nd
eva ua e t Buidi A r
c t he l ng. ound t s e tm e Pl i i f alege t tt y di cove ed a br n pi
he am i , a ntf s l ha he s
r
oke pe

gus ng wa e ont t sl plt sa i ot cr wls c be a h t Buidi sfr ttoor
hi
t r o he il a e nd nt he a pa e ne t he l ng' s l .
Pl ntf s s e
ai i f ubs quen l i onue Gr at Am e i a of t i pr r y da age cl i .
ty nf
d e
rc n
he r ope t
m
am
Pl i if s it d a Pr ry Los N otc on M a 9, 201 cl i i t y t ound s e
a ntf s ubm te
ope t
s
ie
y
3 a m ng he d
f
om

sr curlda eduet wae.'( fsMot a 4,Exhi tIa 1)Pli if sae i t noi
tu t a mag
o tr' De '
.t
bi t . antfs ttd n he tce
t t t l s occ r d o M a 2, 201 a 1 00 p. .H owe r Pl i if l t r a s t d i t r
ha he os
ur e n
y
3 t 2:
m
ve , a ntf s a e s ere n hei
Sw or St t m e i Pr ofLos t tt d opery da age a bus nes i e nl i l sw as
n a e nt n oof
s ha he i
pr t m
nd
i s nt r pton os

dicovee o ora
s rd n
boutFrda Aprl1 201 ' t tsM o .a 1 Exhi tS a 1)Pl ntfs
i y, i 9, 3. De' ' t t 0, bi t . ai if '
cai t t s $2, 1 i udi $906, f buidi l s a $1493, f r busne s
l m o al
400, 43, ncl ng
294 or l ng os nd , 849 o
i s
i om e l s
nc
os .
C. I s i i ofPl ntf s'Proper v- u sC l m
nve tzaton
ai if
t l os ai
Gr a A m e i n i ta e a i tga i of t Buidi f l i Pl ntf s c ai a
et
rca nii t d n nvesi ton he
l ng olow ng ai i f ' l m nd

r t ne SDI Gl ba Cor a i t hel de e m i t ca e of t pr ry dn
eai d
I o l por ton o p t r ne he us
he ope t mage SDl
.
1
G l ba i pe t t Buidi t e tm es i M a 201 t k t r i t c us dur ton,a
o l ns c ed he
l ng hr e i
n y
3 o l e m ne he a e, a i
de
nd

extntoft da ag t t gr
e
he m e o he ound tooroft buidi ' a f o e ua e t ta ng'oft
l
he l ng' nd s val t he s ggi
t
he
s ond a t r soresoft buidi a de e mi isr a i t t buidi f
ec
nd hid t i
he l ng nd t r ne t elton o he l ng oundai n a
to nd

gound toorc ton. ( ' M o .a 4,Exhi tK a 1)l co l dt tChe da get t
r
l ondii ' Defs t t
'
bi t . t ncude ha s
t ma o he

wo d sl plt o t e la b aig su wal o te c rio a d t wo dj ito te to r
o i ae f h o d e rn td ls f h o rd r n he o o s f h l o
l
f n i t g ound l velw as t r ul of m oi t e e
r m ng he r
e
he es t
s ur xpos e f a e e
ur or n xt nded pe i of tm e '
rod
i ,'

lA silplt i a pr s e-r t boar t st fa on a cem entsurace and suppors t t
l a e s es ur tea ed
d hat is l t
f
t he loor
tus .I Pl ntf s Buidi t s l pl esr t on t cent l bearng concr e beams s
r ses n ai if ' l ng, he il at esed
he
er oad
i
et
uppori
tng
t centall be i wals.
he
r oad arng l

4

addi t t'gl e e a s veiy ofdec y on t e wood buidi c
ng ha ithe xtnt nd e rt
a
hes
l ng ompone si cae
nt ndi td
c i
ontnuousmoit eexpos r f s vealye r . (d.
sur
u e or e r a s' 1 4
'
D u i t l te s a s of t i tga i G r a Am e i a hie W ood A dvi or
r ng he a t r t ge
he nves i ton, e t
rc n r d
s y
Se vi es I t i pec t buidi a pr de a he c us ton opi on.I viua l e l e
r c , nc. o ns t he l ng nd ovi not r a a i
ni t s ly va uat d

t pr s on Oc obe 27,201 a lke SDI Gl l dee mi t tt da a oc ure
he emies
t r
6 nd, i
I oba , tr ned ha he m ge c r d
ove a pe i of yea s as a r ul of l t nn de e i a i br
r
r od
r
es t ong-e
t r or ton ought on by m oit e e
s ur xpos e.
ur

W ood is d t f l ng o ni on t c us oft Buidi ssr t a de i e is:
s ue he olowi pi ons he a e he l ng' tuc ur l fcince

Th d tro ai n o te s bl o ,to rj it,walsu ,a d
e eei rto f h u fo r l o o ss l tds n

sl plt s i ntfe by t i ur due t ne tve ve tc
il a e de iid
he ns ed
o ga i
rial
del c i wa ca e by l t nn de e i r ton fom wood
te tons s us d
ong-e
t ro ai r
decay.
The l t r dec y w a ca e by a ge r ly hi r l tve
ong-e m
a
s us d
ne a l gh e a i
hum i t i t cr wlpa e, c
diy n he a s c ombi d wih gene aly cool
ne
t
r l
i e i r ai c tone r t a
nt r o
r ondii d esaur nt s ce r s tng i
pa
e uli
n

c n e s to o t es b lo a dfo r oit.
o d n ai n n h u fo r n l o j ss
The ge r lz l t r de ay w a pr es i a oc ur e
ne a i ed ong- e m c
s ogr s ve nd c r d
ove ape i ofma ye r ase de e by t 201 Optmus
r
rod
ny a s vi nc d
he 0
i
r por and m os lke y o r s ver l de des ba e on de y
e t
t i l ve e a ca
sd
ca
r t s i pee r vi w e s i ii a tcl s
a e n r e e d c entfc r i e

t psM o.a 4, bi L a 8.
De
t t Exhi t t )
A s of J ne 201 Gr at Am e i a s ilha not i s d a de s on on w he he t 201
u
7, e
r c n tl d
s ue
ci i
t r he
3
Polc cove e t pr l y da a a l ged i Pl i if 'cl i .Pl i if t r f e i ta e t s
iy
r d he ope ' m ge le
t
n a ntf s a m
a ntf s he e or nii t d hi
a ton on J 6,20l s ki r ove y f om Gr tA m erc f t ralege l s
ci
une
7 ee ng ec r r
ea
i an or hei l d os .
1 SUM M ARY JUDGM ENT STANDARD
11.

S mmayj d me ti a to ie wheete ei n g n n is eo mae ilf c. Fe .
u r u g n s uh rz d r h r s o e uie su f tra a t d
R.Ci P.5 c .Thepa t s ki s
v. 6()
ry ee ng ummayj
r udgmentbeast i ta bur nofde tai
r he niil de
monsrtng
t a enc ofa ge ne i s ofm a e i lf c . Adi k s v S. Kr s drCo. 398 U . 1 15
he bs e
nui s ue
t ra a t
ce . H
es
,
S. 44, 7

( 9 0 . Thepa t o p sngt emo in f rs mma yj d me tma n tsmpy r s u o me e
17)
ry p o i h to o u r u g n y o i l e t p n r
alegatons or deni s of t pl ngs; t non- ovi pary m us es abls t es i
l i
al
he eadi
he
m ng
t
t t i h he sental

5

eeme sofis c s on whi h i wilbe rt bur n ofpr atti l Cel e Cor v Catet,
l nt
t ae
c t l a he de
oof ra . otx p. . r t

477 U. 31 ( 986) Matus t Elc l .Co.v Ze t Radi Cor ,475 U. 57 (98 .
S. 7 1 . s hia e . ndus
,
. nih
o p.
S. 4 1 6)
The nonmova mus pr s ntm or t n a s i il ofe denc i s ppor oft non- ova '
nt
t ee
e ha
cntla
vi e n u
t he
m nts

po iin.A j r mu tb a l ra o byt fn frten n mo a tAn e s nv fie t Lo b ,
st
o
u y s e b e e s na l o id o h o - v n . d r o . b ry b y
I .477U. 242,254( 986)
nc,
S.
1 .
I . Dl
V
scussl
oN
D. T he A l- ik lns
lR s
urance Polcv
i

Gr a Am e i a i ur d Pl i if Buidi unde an a lrs c m er i pr pe t
et
r c n ns e
a ntf s'
l ng
r
l- i k om
c al o ry

i ur nc polc e f c i fom M ar h 1,201 t ough Fe u y 28,201 Al-ik polc e
ns a e iy, fe tve r
c
3 hr
br ar
4. lrs
ii s
S ove a1f t t l s s o da es ot r t n t e r s tng fom wilul mic
i r 1 oruious os e r mag
c
he ha hos e uli r
lf
s onduc or
t

fa en acs' Fa v.Cl endon NatonalI s Co. 899 So. 1
rudul t t. yad
'
ar
i
n. ,
2d 082,1 ( a.2005 .
086 Fl
)
U nde Fl i l w , c t m us c t ue i ur e co r c s S n a c da e w ih t pl n
r orda a
our s
t ons r ns anc
nt a t ç c or nc
i
t he ai

lng
a uageoft polci asba g ne f rby t pa te . Aut o wne sI .Co.v Ande s 756
he i es
r ai d o
he ri s' o'
r ns
.
r on,

So.2d 29,34 ( a.2000) Sft r lvan polcy lnguage i s c ptbl t mor t n o
F1
. s he ee t i a
l
s use i e o e ha ne
r as bl i e pr t ton,one pr di co r ge a a he lm ii c r ge,t i ur nc
e ona e nt r e a i
ovi ng ve a nd not r i tng ove a
he ns a e
polc i c i r a bi
i y s ons de ed m guous. 1 A m bi
' d.
'
guous i ur nce polc pr s ons i l ng
ns a
i y ovi i
nc udi

a bi
m guous e usona y clus a e c t u d agans t d a tr a lbe al i f voroft
xcl i r a es r onsr e
i t he r fe nd i r ly n a
he

i urd. ei (lEl usona' clus a ec tue e nmor srcl a i tt i urrt
ns e Se d ûl xcl i l a es r onsr d ve
y
e tity gans he ns e han
c r geclus s.)
ove a a e ' .
'
A pl ntf s ki t r c
ai if ee ng o e overunde a alrs polc ha t btr n ofpr vi t ta
r n l-iks iy s he lde
o ng ha
l s oc ur ed t t i ur d' pr pe t w hie t polc w as i f c Egan v W as ngt Ge
os c r o he ns e s o ry
l he i y
n or e.
.
hi on n.

I .Cop. 240 So.2d 8 876 ( a.Dit Ct App.1 .foncet i ur esa ihesal s
ns r ,
75,
Fl s. .
970) i
he ns ed tbls
os
a r nty w ihi t t nns of a $ l r s polc t bur n s fs t t i ur t pr t
ppa e l t n he e
n a l i ks' i y, he de hi t o he ns er o ove hat
t l sa os fom a c us whi h i e e e ' H u on v Pr dentalPr p.trCas I .Co. 450
he os r e r
a e
c s xc pt d. ds . u i
'
o f
. ns
,

So.2d 565,568 ( a.Dit Ct App.l98 .Fi ly,fi t i urrme t isbude ofpr ng
Fl s. .
4) nal sf he ns e es t r n
ovi
t tt l s i e l
ha he os s xc uded,t bur n t n s f sba k t t i ur to es a ih t ta e e i
he de he hi t c o he ns ed t t bls ha n xc pton
6

t a e us o a i s '' t am v fandmar Am e c I .Co. 864 F.Supp.2d 1
o n xcl i n pple .' Bar r
.
k
ri an ns
,
229, 1
232

( D.Fl 201 .
N. a. 2)
A lhoug Pl ntf s 201 Polc e l
t
h ai if ' 3 i y xc udes S ola e' f om is ls of c r d c us s of
s l ps ' r
c
t it
ove e a e

l s i r uie Gr a Amerca t pa f physca l s of or da a ca ed by o r uli
os , t eq r s e t
i n o y or
i l os ,
m ge us
r es tng
f om ,a c l ps a detned i t tAddii na Cove ag ' s c i The 201 Polc de i a
r
ola e s i
n he k
to l
r es' e ton.
3
i y fnes

cola e a S n abr ptf li down orc vi i ofa buidi ora pa tofa buidi wih t
lps s d
a
u a lng
a ng n
l ng
ny r
l ng t he
r s tt tt buidi o par of t buidi c
e ul ha he l ng r t he l ng annotbe oc upi d f is i e
c e or t nt nded pur e.
pos '
'
ûs br ' i de i a ' r ct r z d by or i vi a ton or c nge wihout pr pa a i o
lA upt s fned s cha a e i e
nvol ng c i
ha
t
e r ton r

wani une ced.' Ki Ri 98 So.3 a 77 ( tng M eram-We tr' Cole at
r ng: xpe t '' ngs dge,
d t cii
ri
bse s lgi e
Ditonar 4 ( 1h e 2008).Thus t obt n cola e c a Pli if mus esa ih t t
ci y 1 t d.
)
, o ai lps overge, antfs t tbls ha
whie t 201 Polc wa i efed,s
l he 3 iy s n f
ome pa toft Buidi s
r
he l ng uddenl f ldown orc ved a
y el
a
nd
pr ve e Pli if fom oper tngt i frttoorr t ur nt
e nt d antfs r
ai he r is-l
esa a .
E. Polc Coveraze A nal s
iv
vsi

Pl i if c e t tS t ror t d sl plt ca ed a do
antfs ont nd ha t e i a e il aes us
de
wnwa d s f i t buidi s
r hit n he l ng'

c nr lsr cu ea d r q ie e a u to '( ' Re p a 4. Ho v r Plitfsh v p o d d
e ta tu t r n e ur d v c ain. P1s s . t ) we e , anif a e rvie
'
no a fr a i e
f im tve xper opi on ordoc e ar e de e s i t tt a l ed da a ac ualy
t ni
um nt y vi nc how ng ha he leg
m ge t l
s ts i s t c ie i f a c
a i fe he rt r a or over d cola e unde t 201 Polcy.l contas ,G r a Am e i n
e
l ps
r he
3 i n
r t et
rca
has pr
oduc t o e r opi o , doc e ar e denc and t tm o fom f ct w ines e
ed w xpe t ni ns
um nt y vi e,
es i ny r
a
t ss
es a i hi m uti e r s
t bls ng
lpl ea ons Pl ntf s pr ry da a i no c r d. U li a el t
ai i f ' ope t
m ge s t ove e
tm t y, he
evi nc i c t s t da a oc r e g adua l over a e e d pe i of tm e and t t
de e ndi a e he m ge cu r d r
ly
n xt nde
r od
i
ha
Pl ntf s kne a
ai i f
w bout t Buidi s gr dua de e i a i w e lbe or t da e t aleg t
he
l ng' a l t r or ton l f e he t hey l e he

c lps occ rd.Ass h,Pli if c l pr t tanypori oft Buidi abr pt fl
ola e ure
uc antfs amot ove ha
ton he l ng u % el
down or c ve i durng t 201 Polc 2 pe i a ,t , c m ot s vi G r a A m e i a s
a d n
i he
3
i y r od nd hus al
ur ve e t
r c n'

mo inf rs mmayj dg n .
to o u r u me t
2Pl ntf s compl ntale l s undert 201 Polcy and onl t 2013 Polc . To be s e,
ai if '
ai lges os es
he 3 i
y he
iy
ur

Plitfs c tnd i t i r s ns t Gra Ame ia s moton f r s mma y j dg ntt a Gra
anif one n her e po e o e t
rc n'
i o u r u me h t e t
Amerca i ur t s
i n ns ed he ame Buidi undert s ae polci fom M ar 1,201l t ough Febr y
l ng
wo epar t
i es r
ch
hr
uar

1. N oEvde et t Buidi Suddenl Fe lorCav d I Dur ng t Polc Pe i
i nc hat he l ng
y l
e n
i he iy rod.
Ac di t Pl i if , t sl plt de e i r ton c ed t Buidi s foor a
cor ng o antfs he il a e t ro a i aus he
l ng' l s nd
c lngst une c edl d op afe t 201 Polc s c r ge c m e d. The e phas z t
eii
o xpe t y r
t r he
3 i y' ove a om nce
y m
i e he
s m ia ii s be w e n t s ca e a Ki Ri Comm uniy As ' , I .v Sagam or I s Co. 98
i l rte t e hi s nd ngs dge
t s n nc .
e n. ,

So.3 7 ( a.5hDCA 201 .l Ki Rige t DititCo tofAppe ofFl i f f
d 4 Fl t
2) n ngs d ,he src ur
al orda ound or
t i ur d, di t tac lps oc uredwher a s ii i i tca e a buidi sc ii
he ns e hol ng ha ola e c r
e pecfc ncden us d
l ng' elng
t u xpe t dl and i e ael del c downwa d t ve i hes 1 a 77
o ne c e y
mm di t y te t
r wel nc . d. t -78.Pli if ur e
antfs g
t s Co tt f l s t notng t tt s c s a Ki Ri i ve sm ia pr t da e
hi ur o olow ui, i ha hi a e nd ngs dge nvol i l r opery mag
and i i polcy l
dentcal i anguage.

Howe ,Kigs Ri dif r fom t s c e i one de ii r s t I t t c s ,t
ver n
dge fe s r
hi as n
c sve e pec . n ha a e he
Cour hel t t t pr t da a oc r d a pty.Pl ntfs on t ot r ha ha
t d ha he opery m ge cure bnl l
ai if ,
he he nd, ve
pr de no a fnna i e r o ni or doc e a y e de
ovi d
f i tve xpe t pi on
um nt r vi nce e t i hi t t a pa tof
s abls ng ha ny r
t i Buidi a pty f lor c ve i be wee M ar h 1 201 - t da e c r ge be n unde
he r l ng bnl l el
a d n t n
c , 3 he t ove a
ga
r
t 201 Polc a M a 9,201 t da e Pl ntf s no ii d G r a A m e i a oft a l d
he
3 i y nd y
3 he t ai if tf e
et
rc n
he lege
l s
os .
l K i gsRi t r c d c ea l es a i hed a sngl m om e whe w ihoutpr pa a i
n n
dge, he e or l ry t bls
i e
nt
n, t
e r ton

or wa ni t buidi s c ii f lt l i hes The Cour not t t k Fe ua y 24,
r ng, he l ng' e lng el weve nc .
t ed ha i
on br r
201 t e w a a unexpe t d cha t t c ubhous when t e e i door oft wes wi
0, her s n
ce
nge o he l
e
he xt ror
s he
t ng

oft cubhous be n t s ke a t d op c ii a s ft del
he l
e ga o ha nd he r elng nd ofis feded down r .' 1
wa dgl' d.
Be or t ti de ,t buidi i Ki gs Rige s wed no sgns of e si de e es or
f e ha nci nt he l ng n n
d ho
i
xitng fcinci

pr e svedeei ai TheCour e ai dt dg rort t i de onFe u r 24,201
ogrs i tror ton.
t xpl ne hattpli o he nci nt
br ay
0,
t dr c lng,fa r ,a t us es w e e upr ghton t r ba e a ha r m a ned a t s m e
he op eii l t oof nd r s
r
i
hei s nd d e i
t he a
28,201 However t f l t menton t e ea lerpolci i t rcompl ntand t do notsae
3.
, hey aied o
i hos ri
i es n hei
ai
hus
tt
cl ms f l s unde t e polci I a f not of t r r pons bref Pl ntf s s
ai or os es
r hos
i es. n oot e hei es e i , ai if ugges t Cour
t he
t

s oul g a tte Ia t a nd t i c an i çhe Cou t( tr ne lt a c vea e ssu e
h d r n h m e ve o me her omplit f ç
t
r dee mi s h t o rge xit nd r

t pr ous polci is
he evi
i es s ued by Gr at Amerca , ort f s pr
e
i n
he act oduced atti s
ral how t t a pror Gr t
ha
i
ea

Ame ia g iylwa i iae '( ' Re p. t1 n.) TheCou twilno i ulePl ntfs d a d
rc n pol
c
s mplc td. Pls s a 4, 8 .
'
r l t nd g ai if' elye ,
condii r
tonal eques f l
t or eave t am end is compl nt A nd even i Pl ntf had br
o
t
ai .
f ai ifs
oughtcl m s undert
ai
he

2 l a 201 p iis t y silc d no s vv s mma y j gme be au e t y h ve f ld t
0l nd 2 olce , he tl oul t ur ie u r ud nt c s he a ai o
e

pr de a evi
ovi ny dence t a colaps occur ed durng eiheroft eari polc peri
hat
l e
r
i t
he ler iy
ods.

8

lvel de e a a ount of he g f a i t r i t pe i .' I But a t tm e of t
e , gr e, nd m
i ht or n nde e m na e rod ' d
t he i
he
i i nt t e sr t a elm e s ' ola e i e ael ' ie,She wer no l nge uprght
ncde , hos tucur l e nt t lps d mm di t y' . . s y
c
t
e
o r i
on t rba e t y w e e no l
hei s ; he
r
onge a t s m e l l deg e oramountofhe g t tt y ha
r t he a
eve ,
r e,
i ht ha he d

p e ousy ma n ai d. I
r vi l i t ne ' d.
'
l t s ca e howe r Pl i if ha pr de no e de
n hi s ,
ve , antfs ve ovi d
vi nce of a sm ia l a u
i lry br pt

de l ci oft Buidi s foor orc ii . To beg n,Pli if cied confi i daesoft
fe ton he l ng' l s
e lngs
i a ntf s t
lctng t
he
a lge c lps The i taly s i t c l ps oc ured on M ay 2, 201 butlt r sa e i
le d ola e. y nii l ad he ola e c r
3,
ae ttd t
occ r d on A prl l 20l Furhe m or , net r Al Ga c a t Buidi s ar hie t nor
ur e
i 9,
3. t r e ihe
do r i , he
l ng' c t c ,
Tho a M oe,Pl ntf s t r s nl t a e ne r t sii d t tt pr ry da a oc r
m s
ai if ' hid t c ur l ngi e , e tfe ha he ope t m ge cured

s
udde y.The sa e smpl t t as of Aprl 201 , t Buidi t
nl
y t t d i y ha
i
3 he
l ng ' sa tng t ca i '
was t ri o ve n'

( ri De a 92:-1 a wa tsr t aly uns f ' (d.a 88:-1 ) Th s tsi n i
Gaca p. t 8 2) nd s 'tucur l
ae. 1 t 8 6
'
i e tmo y s
.

ir l va ,howeve ,be us Gr tAm e i n doesnotdiput t e se e ofsr t alde e t
re e nt
r ca e ea
rca
s e he xit nc
tucur
fcs
i M a 2013.To t c r y, i a g s a t e de e c im s t tt e s m e def c s
n y
he ontar t r ue - nd he vi nc onfr
ha hos a
et
e se yea s be or t cl me c lps . Thus unlke Ki Ri t e de i t s ca e
xit d r f e he ai d ola e
, i
ngs dge, he vi nce n hi s
s sst pr ry da a di no a upty m ae ilz --orf t mate , a u l w or en
ugge t he ope t m ge d t br l tra ie
or hat t r br pty
s durng t 201 Polc pe i .
i he 3 i y r od

To r butt e de s wi t Buidi ne r a u l f l or ca i , Pl ntf s
e
he vi nce ho ng he l ng ve br pty el
ved n ai i f
of e onl i cc a e a c us y a s r i . The trt a g t tla no po n prort t
f r y na ur t nd oncl or s e tons
y i s r ue ha st
i t i o he

201 dic r oft de e i r ed sl plt wasi de a ed t tt buidi wa i a sae of
3 s ove y
he t ro at il aes
t clr ha he l ng s n t t

c lps ,g lt tt sr t edr pe t al
ola e or ha he tucur op d o owerde e i lvel....'( ' Re p.a 6)Thi
gre n e
' P1s s t
s
.

c en i c l c s wih Optmuss 2010 i pe ton r por e i ty sai t tt Buidi
ont ton onti t t
i '
ns c i e t xplcil t tng ha he
l ng
s
howe sgns of s te
d i
etlmenta s ve e defe i . N ext Pl i if cont nd t pr or t 201 ,
nd e r
lctons
, a ntf s
e hat i o
3
nobody det m i ût s r ur coul notbe occupi f is i ended pum ose.' ( ' Re p. t
er ned ûhe t uct e
d
ed or t nt
'P1s s a

6. Onc agan,Pli if'ase ton doesnots r wih t fcsi t r or Folowi is
) e i antfs s ri
quae t he a t n he ec d l ng t
.

A prl 201 i pe ton, Optm us r co m e
i
2 ns c i
i
e m nded Pl ntf s cl e one pa ' of t kic .
ai i f os
l
t
he t hen
A ddii ly, Robe t Bens of H il an Engi e i t d Pl i if Cor a e Co e i
tona l
r
on
lm
ne rng ol a ntf s'
por t
uns l n
O c obe 201 t t t Buidi s s r t al defci nci s c ea e a û ie s f y ha r .' Thus
t r
2 ha he
l ng' t uc ur
i e e r t d s f a et za d '
l
,
9

Pl i if r c ve t wa ni t ta 1o pa toft Buidi coul notbe oc ed f is
antfs e ei d wo r ngs ha 1 r r
he l ng
d
cupi or t
i e d pup os The Buid ng r mai d occ e untl M a 201 onl be us Pl i if
nt nde
e.
l i e ne
upi d i
y
3
y ca e antfs
i e t ewa ni .
gnor d hos r ngs
Uli ael t e de e i c t t t Pl i if pr ry da a r ule fom
tm t y, he vi nc ndi aes ha antfs' ope t
m ge es td r
s r t al de ec s t t e sed f ye s a s ea l de e i a e ove tm e. H a ng f ie t
t uc ur
f t ha xi t or ar nd t diy t ror t d
r i
vi a l d o

pr e a e de e t tt da a oc ur e s
oduc ny vi nc ha he m ge c r d uddenl , Pl i i f 'r la on Ki Ri i
y a ntf s e i nce
ngs dge s
m iplc Ra he , t Cour gla mor a i bl gui nc fom ca e i vi sm iar
s a ed. t r he
t e ns
e pplca e da e r
s s nvol ng i l
c r ge dipu e wher pr ry da
ove a
s ts
e ope t mage oc ur e pr e svey ove a e e
c r d ogr s i l
r n xt nded perod. Se ,
i
e
eg. N P.r Real Cor v. Natonwi M ut I . Co. 201 W L 49485 *4 ( . Fl 201 )
.,
l
t
y
p.
i de
. ns
, 1
42, M D. a. 1

(ddr sng whehe dda ge t t oc ure grdual ove a pei of tme'quaii fr
a esi
t r k ma ha c r d a ly r
rod
i ' lfed o

c r a a tc lps ' Basd on t e c es t gr dual oc uri dee i ai of
oveage s 'ola e). e
hos as , he a ly c rng trorton
Pli if 'Buidi doe no qua iy asa c e l sgi n t tt a i a epolc de i s a
antfs
l ng s t lf
over d os ve ha he pplc bl
i y fne
c lps as a ka u f lng down or c vi i .' S e i ;s e alo As ' o Un tOwn r o
ola e
n ibr pt ali
a ng n ' e d e s sn f i
c. f
ç
Ne t v. at Far Fi e & Cas Co. 670 F.Supp. 11 , 1 6 ( Or 20 9 ,f ' s bn m.
s ani St e
m r
.
,
2d 56 1 3 D. . 0 )a fd u o

As ' o Unttw r o Ne tni Gr ca Vla v S ae Fa m Fie d Ca I .Co. 434 F.
sn f i l wc . f sa - e in il . t t r r r s ns ,
ç
A
.

App' 579(t Ci.20l1 ( di t twhe ePl nifsalge çc lps 'de ule fom wae
x
9h r
) hol ng ha r aitf le d tola e'd s td r
r
tr
da a a de y d c ng ove a pe i oftme,'t s çola e'wa notludde unde t
m ge nd ca oc uni
r
rod i
hi c lps
s
s
n'
r he

tr o t ePoiy' Za c iiv CS Fiet Ca . n .Co, 3:6 CV- 3 (
ems f h l '; mihe . AA r f s I s . No 1 - 7 9 VAB) 2 8
c )
r
, 01
.

W L 95011 a *4 ( Conn.Fe 20,201 ( di t tt ogr sve deeir ton' di not
6, t D.
b.
8) hol ng ha t esi tro ai ' d
pr
c tt e a c r cola e whe e t a i a epolcy cove e onl dt n abr ptf li down
onsiut ove ed lps
r he pplc bl
i
r d y ia
u a lng
o c vi i of a buidi ... a nott grdual tror in ofpr t ove tme'; i y
r a ng n
l ng'
nd he a deei ato
opery r i ' Holda
)

Vil E.Homeo r' Ass' v. QBE 1 sCor ,517F.
l.
wne s
n
n p.
App' 113,11 ( Ci.201 ( i t t
x
4 3d r 3) notng ha
t t r t br ' C r ows t m ea ng oft l ps unde t Polc by lm ii cove a t a
he e m s upt' d r
a
na
he
ni
cola e'
r he i y
i tng
r ge o n

i e a e r t t n gr dua , c lps ' .
mm dit , aher ha a l ola e'
)

Knowld o Gr
e ge f adual Wor e ngDetror i Pr cude Cov r ge
l
y s ni
e i aton e l s e a
.

1
0

De pie ca e l s
s t s aw uggesi t tgr dua da a doe notquaiy a an d br ptf li
tng ha a l m ge s
lf s
t u al
a
ng
dow n or c vi i ,' Pli if ma n a n t tt Buidi spr r s i yea s l de e i a i
a ng n ' antfs i t i ha he l ng' og e sve
r -ong t ror ton
,
none hees c tt esa c lps . Butt ca e t y ciei s
t l s onsiut
ola e
he s s he t n uppor oft sposton do no a y.
t hi ii
t ppl
Ea h i veshi n de e t i buidi t t u i Pl ntfs Buidi pr vi l s
c nvol
dde f c s n l ngs ha , nlke ai if ' l ng e ousy howe no
d
,
s g of sr t a dek i i be or t e a lge l s m a e i i d. Johns on v Compani
i ns
tucur l t ences f e h le d os
t ralze
t .
on

Pr p.drCas I Co. 31 F.App' 86l 8 6 ( 1h Ci.2 0 )(fimig j d me tf rte
o
. ns
, 8
x
, 6
1 t r 0 9 atr n u g n o h
.

i ur wheede y wa S dde fom viw' Kel v Bal Ins.Co. 897 F Supp.2d 1262,
ns ed r ca s i n r
hi
e ); ly
boa
,
1 68( . Fl. 01 )( e yngs mmayj d me t r g n n is o maeilfc e itd
2 M D. a 2 2 d n i u r u g n whee e uie sue f tra a t x se
.

.

a t whehe Pli ifkne oft sr cur lde ay c us by tr t l The Oak Uni 11
s o t r antf w
he tu t a c a ed
emies;
s tI
Co
ndo.As %,l . v.Als at l .Co. 201 W L 4542899,
s nc
lt e ns
, 0
a *l ( . Fl Nov.1 201
t M D. a.
0, 0)

ta l
s me .
Tha ditnci n pr
t si to ovesf t lt Pli if 'poston t tgr dualde e i a i may qualf
a a o antf s
ii ha a
t ror ton
iy
a a cola e.Co t hol t i ur ds wih k wl dge of pr - e s i de e i a i n c nnot
s
lps
urs d hat ns e
t no e
e xi tng t r or t o a
r co f da
e ver or mageca e by t wor e ng oft tde e i ai n. Se Sandal d Condo. As '
us d
he s ni
ha t ror to
e
woo
sn

atWidwoo4 l v Alsat I .Co,294F S p 2 1 5 1 9 ( . F a 20 3 ($ J o d r
l
nc. . lt e ns .
u p. d 31 , 31 M D. l . 0 ) çln r e
g
.

t r ove unde t polcy,ghe i ur mus de nsr t t tt da e t t sr t al
o ec r
r he i t ns edl t mo tae ha he mag o he tucur
i e iy oft Complx wasnotvii e a t trhe i urd)net rkne no s d ha
ntgrt
he
e
sbl nd ha t ns e ihe w r houl ve
known of t sr t a da a wih s fcenttm e t al f r pa r be or i r a hed t
he tuc ur l m ge t ufi i i o low or e is f e t e c
he

sag ofk lps ''
t e cola e.'
)
As ale dy dic s d, Optmus a Hil n doc e ed t Buidi s gr dua l
ra
s us e
i
nd lma
um nt he
l ng' a ly
detror tng sr c ur no lt t n 201 . The e de laves no doubt t t Pl ntfs kne
e i a i tu t e
aer ha
2
vi nce e
ha ai if
w
a utt spr es i de e i a i . Fis,e ne r fom bot fr dr td r porsdetii t
bo hi ogr sve t ror ton r t ngi e s r
h ims afe e t a lng he
Buidi s sr ct a defci nci s a t r ea h i pec i n. Se ond,Pl ntfs r t ne Optm us t
l ng' t u ur l i e e f e c ns to
c
ai if e ai d
i
o

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CONCLIS ON
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94
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