Atlantic Specialty Insurance Company v. Webster County, Mississippi

Filing 51

ORDER granting (42) Motion To Appoint Umpire in case 1:14-cv-00023-SA-SAA; granting (49) Motion To Appoint Umpire in case 1:14-cv-00053-SA-SAA. Signed by District Judge Sharion Aycock on 4/27/2015. Associated Cases: 1:14-cv-00023-SA-SAA, 1:14-cv-00053-SA-SAA (psk)

IN THE UNITED STATES DISTRICT COURT
FOR THE NORTHERN DISTRICT OF MISSISSIPPI
ABERDEEN DIVISION
ATLANTIC SPECIALTY INSURANCE COMPANY
V.

PLAINTIFF
CAUSE NO.: 1:14CV023-SA-SAA

WEBSTER COUNTY, MISSISSIPPI

DEFENDANT

CONSOLIDATED WITH
WEBSTER COUNTY, MISSISSIPPI
V.

PLAINTIFF
CAUSE NO.: 1:14CV053-SA-DAS

ATLANTIC SPECIALTY INSURANCE COMPANY

DEFENDANT

ORDER ON MOTION TO APPOINT UMPIRE
The parties have jointly moved for the Court to appoint a “competent and impartial”
appraisal umpire referenced in the Agreement for Appraisal as executed by the parties. In that
motion, both sides put forth two candidates each to serve as the “competent and impartial”
appraisal umpire. After reviewing the motion, the Court requested additional clarification on the
parties’ expectations as to the umpire’s duties. The record has been supplemented.
Webster County thereafter filed a Motion to Clarify Statements in the Joint Motion for
Appointment of the Umpire [46] regarding statements made against their second candidate for
umpire, John Minor. Atlantic Specialty has responded. The content in the Motion to Clarify
[46], the Response in opposition [48], and the Reply thereto [49] have been considered in
making the determination of the appropriate umpire in this situation.

Accordingly, after

reviewing the Joint Motion, supplementation by the parties as to the expectations of duties, and
the Motion to Clarify and its development of the record, the Court hereby appoints a “competent
and impartial” appraisal umpire under the Agreement for Appraisal.

Function of the Umpire and Appointment
In November of 2014, the parties entered an Agreement for Appraisal which called for an
“appraisal panel” of two party-appointed appraisers and an umpire. If the party-appointed
appraisers are unable to agree on the selection of an umpire, the contract leaves such
appointment to the discretion of the Court.
Pursuant to the Agreement for Appraisal, if the appointed appraisers do not agree as to
the costs to repair, rebuild or replace the damaged Courthouse, the umpire may be tasked with,
essentially, performing the duties of an additional appraiser. Indeed, a majority of the threeparty appraisal panel (two party-appointed appraisers plus the independent umpire) could
determine the total amount of the following:
(a) Replacement Cost Value of the Courthouse as of the date and time of the loss;
(b) Actual Cash Value of the Courthouse as of the date and time of the loss;
(c) The amount, if any, of Extra Expense Coverage costs which Webster County has
incurred, if the Parties cannot agree prior to appraisal consistent with [another
provision of the contract]; and
(d) The amount of Business Personal Property Coverage losses . . . if the Parties
cannot agree prior to appraisal . . . .
Agreement, ¶ 9 (a) – (d). The Agreement further provides that
[n]either the appraisers nor the umpire shall have authority to decide questions
of law. Further, neither the appraisers nor the umpire shall attempt to resolve
any issue of insurance coverage, Policy exclusions, compliance with the
Policy terms and conditions, or any issue concerning the limits of insurance
available under the Policy.
The parties jointly submitted an explanation of the function of the umpire to the Court, as
well [45]. There, they indicated that the “function of the umpire will be to conduct his/her own
investigation and exercise independent judgment; review the supporting information and

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documentation, and consider the opinions of the two party-appointed appraisers.” Therefore,
“the umpire will be more like a third appraiser.”
Pursuant to the appraisal agreement, both parties submitted two possible candidates for
the umpire position. After briefly explaining why that candidate is particularly suited to be the
umpire, the opposing side was given the opportunity to state objections. The parties also
submitted the candidates’ resumes or curriculum vitae. After reviewing the submitted materials
and arguments, the Court appoints John Minor as the competent and impartial umpire in this
endeavor.
John Minor, a licensed general contractor, is a WIND Network certified Umpire of
property insurance appraisals. He has extensive experience in restoring and rebuilding historical
buildings, and has been appointed as an appraiser on more than 650 claims. Further, Minor has
served as an umpire in more than 150 appraisals, either selected by the agreement of the
appraisers or appointed by a court. He is routinely retained as a consultant or expert witness in
disputed property insurance claims. Minor is unquestionably qualified. Also, as a WIND
Network Certified Umpire, Minor has agreed to adhere to and uphold a code of conduct
emphasizing impartiality and fairness in appraising. The Court is confident that Minor will be
the “competent and impartial” umpire called for pursuant to the parties’ agreement.
Accordingly, John Minor is hereby appointed as the “competent and impartial” umpire to
the appraisal panel.
The Motion for Appointment of Umpire is GRANTED.
SO ORDERED, this the 27th day of April, 2015.
/s/ Sharion Aycock_________
U.S. DISTRICT JUDGE

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