Security National Insurance Company v. Ibrahim et al
Filing
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CONSENT JUDGMENT in Favor of Security National Insurance Company and Against PDP Enterprises, Inc. d/b/a Saturn Food Center. Signed by District Judge Matthew F. Leitman. (HMon)
UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF MICHIGAN
SOUTHERN DIVISION
SECURITY NATIONAL INSURANCE
COMPANY,
Plaintiff,
Case No. 16-cv-13659
Hon. Matthew F. Leitman
v.
JASON IBRAHIM d/b/a MERIDIAN
CONSTRUCTION COMPANIES, PDP
ENTERPRISES, INC., a Michigan
Corporation, d/b/a SATURN FOOD
CENTER and FREMONT INSURANCE
COMPANY,
Defendants.
/
CONSENT JUDGMENT IN FAVOR OF SECURITY NATIONAL
INSURANCE COMPANY AND AGAINST PDP
ENTERPRISES, INC. d/b/a SATURN FOOD CENTER
WHEREAS, on or about August 4, 2016, PDP Enterprises, Inc. d/b/a Saturn Food
Center (“PDP Enterprises”) filed a Second Amended Complaint against Meridian in
Wayne County Circuit Court styled, PDP Enterprises, Inc. v. Meridian Construction
Companies, Case No. 16-004128-CP (“Underlying Action”), asserting a breach of
contract claim and a negligence claim against Meridian Construction Companies
(“Meridian”) arising out of a contractual agreement to remove and re-pour a portion of
PDP Enterprises’ concrete floor and to repair and trench a portion of its existing floor.
PDP Enterprises seeks approximately $1,979,992.36 in damages from Meridian in the
Underlying Action.
WHEREAS, Meridian tendered the Underlying Action to Security National
Insurance Company (“Security”) for defense and indemnity.
WHEREAS, on October 14, 2016, Security filed its “Complaint for Declaratory
Relief and Rescission” (Doc # 1 Case No. 2:16-cv-13659)(“hereinafter Complaint”)
against the following interested parties: Jason Ibrahim d/b/a Meridian Construction
Companies, PDP Enterprises and Fremont Insurance Company. Security’s Complaint
seeks a declaration of its rights under two Commercial Lines policies issued to Jason
Ibrahim d/b/a Meridian Construction Companies, Policy No. NA108189100 for the
policy period May 6, 2014 to May 6, 2015 (“2014 Security Policy”) and Policy No.
NA108189101 for the policy period May 6, 2015 to May 6, 2016, each of which included
Commercial General Liability Coverage (“Security Policies”).
WHEREAS, Security filed the instant action requesting that this Court enter
judgment in its favor and find and declare as follows:
A.
The 2014 Security Policy is rescinded and Meridian is entitled to a full
reimbursement of any premium it paid in connection with said policy;
B.
The 2014 Security Policy is void ab initio;
C.
That Security has no duty to defend or indemnify Meridian under the
Security Policies in connection with the Underlying Lawsuit as a result of:
the rescission of the 2014 Security Policy or, alternatively, one or more of
the bases asserted in Counts I, III, IV and/or V;
D.
That the Security Policies provide excess coverage for the Underlying
Lawsuit;
E.
That Security is entitled to reimbursement of the attorneys’ fees and costs it
paid in defense of Meridian from Fremont; and
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F.
Any other relief this Court deems proper under the evidence and
circumstances.
WHEREAS, PDP Enterprises seeks to avoid the time and expense associated with
defending the above-referenced action and therefore acknowledges and agrees to be
bound by whatever disposition is reached in this action, including but not limited to
summary judgment, a jury verdict, ruling by the Court, settlement by the parties, ruling
by an appellate court and/or any other resolution of Security’s claims in the Complaint.
IT IS HEREBY AGREED by the consent of both Security and PDP, both of
whom have had the advice of counsel, that Consent Judgment be entered against PDP and
in favor of Security in accordance with the following terms and conditions:
PDP Enterprises consents to judgment against it and agrees to be bound by
whatever final determination and/or disposition is reached in the instant action, including
but not limited to summary judgment, a jury verdict, ruling by the Court, settlement by
the parties, ruling by an appellate court and/or any other resolution or disposition of
Security’s claims in this matter.
IT IS SO ORDERED AND ADJUDGED.
s/Matthew F. Leitman
MATTHEW F. LEITMAN
UNITED STATES DISTRICT JUDGE
Dated: November 10, 2016
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Approved as to form and substance and may be signed by the Court immediately:
/s/ Frank T. Aiello w/ Consent
FRANK T. AIELLO (P41573)
SHEA AIELLO, PLLC
Attorneys for Defendant PDP
2610 American Drive, 2nd Floor
Southfield, MI 48034
(248) 354-0224
frank.aiello@sadplaw.com
/s/ Alan G. Gregory
ALAN G. GREGORY (P28486)
GREGORY AND MEYER, P.C.
Attorneys for Plaintiff
340 E. Big Beaver Rd., Ste. 520
Troy, MI 48083
(248) 689-3920
agregory@gregorylaw.com
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