Justia Indiana Supreme Court Opinion Summaries

Plaintiffs, Katherine and Michael, were living together in a home that was destroyed by a fire in 1998. Seeking to rebuild their home, Michael and Katherine completed an application for property insurance with American Family Mutual Insurance Company. American Family issued the policy. In 2003, Plaintiffs' garage was destroyed in a fire, and Plaintiffs filed a claim with American Family. During follow-up investigations, Michael disclosed the 1998 fire to American Family. American Family, treating the prior fire loss nondisclosure as a misrepresentation, voided the insurance policy ab initio and denied Plaintiffs' claim. Plaintiffs filed suit against American Family claiming breach of contract and intentional infliction of emotional distress. The trial court granted summary judgment for American Family. Plaintiffs appealed, challenging the grant of summary judgment on grounds that American Family failed to return the premiums paid by Plaintiffs. The Supreme Court affirmed, holding that Plaintiffs' assignment of error was not properly before the Court on appeal. View "Dodd v. Am. Family Mut. Ins. Co." on Justia Law

Plaintiff's vehicle was rear-ended by Driver's vehicle. Plaintiff sued Driver and settled with his insurer for $50,000, the maximum of Driver's automobile liability policy. Plaintiff then sought an additional $50,000 under her underinsured motorist (UIM) policy with State Farm. State Farm declined to award the requested amount. Following trial, the jury returned a verdict in favor of Plaintiff in the amount of $50,000. The trial court declined Plaintiff's motion for prejudgment interest pursuant to the Tort Prejudgment Interest Statute (TPIS). Plaintiff appealed the trial court's denial of her motion for prejudgment interest. The Supreme Court affirmed, holding (1) the TPIS does apply to UIM coverage disputes; (2) because prejudgment interest is a collateral litigation expense, it can be awarded in excess of an insured's UIM policy limits; but (3) Plaintiff was not entitled to prejudgment interest because the trial court acted within its discretion when it denied her request for prejudgment interest. View "Inman v. State Farm Mut. Auto. Ins. Co." on Justia Law

The Indiana Department of Environmental Management (IDEM) informed Flexdar, Inc. that Flexdar would be liable for the costs of cleaning up trichloroethylene (TCE) contamination on a site where Flexdar previously had operations. State Automobile Mutual Insurance Company (State Auto), with whom Flexdar maintained general liability and umbrella insurance policies for the period when the contamination occurred, filed a declaratory judgment action, contending that coverage for the TCE contamination was excluded pursuant to a pollution exclusion in the policies. The trial court entered summary judgment in favor of Flexdar, concluding that the language of State Auto's pollution exclusion was ambiguous and therefore should be construed against State Auto and in favor of coverage. The Supreme Court affirmed, holding that the language of the pollution exclusion at issue was ambiguous, and therefore, in accordance with precedent, the policies were construed in favor of coverage. View "State Auto. Mut. Ins. Co. v. Flexdar, Inc." on Justia Law

Several family members were injured in a car accident and divided the benefits paid by the tortfeasor's insurer. One family member, Hannah Lakes, also sought to recover under the underinsured motorist (UIM) endorsement of an insurance policy provided by Grange Mutual Casualty Company that applied to all the family members involved in the accident. The trial court granted Grange's motion for summary judgment, holding that the tortfeasor's vehicle was not underinsured because the per-accident limit of his policy was equal to the UIM coverage under the family members' policy. The Supreme Court reversed after reaffirming its decision in Corr v. American Family Insurance, holding that the tortfeasor's vehicle was underinsured because the amount actually paid to Lakes was less than the per-person limit of liability of the under-insurance endorsement. View "Lakes v. Grange Mut. Cas. Co." on Justia Law

Insured held a life insurance policy issued as part of a federal employee benefit plan. When Insured divorced from his first wife, the divorce decree and property settlement required Insured (1) to maintain the life insurance policy, and (2) to designate the first wife and their grandchildren as equal beneficiaries. Subsequently, Insured remarried, designated his second wife as the sole beneficiary to the life insurance policy, and increased the insurance coverage. Insured and second wife later divorced. When Insured died, the second wife remained the sole beneficiary on the life insurance policy. The first wife and grandchildren filed suit, asserting equitable claims over the life insurance proceeds. The trial court granted summary judgment to the second wife, determining that federal employee benefit law preempted the equitable state law claims and that the policy proceeds accordingly belonged to the second wife. The Supreme Court reversed, holding that the Federal Employees' Group Life Insurance Act did not preempt the equitable claims and that the first wife and grandchildren were entitled to a constructive trust over at least a portion of the proceeds. Remanded. View "Hardy v. Hardy" on Justia Law

Robin Everhart filed suit against the Indiana Patient's Compensation Fund (PCF) to recover excess damages after settling a wrongful death claim against an emergency room physician in whose care her husband died. The PCF asked the trial court to reduce its award of damages to account for the twenty percent change that Robin's husband would have died anyway, even in the absence of the physician's negligence. The trial court declined to do so, awarding Robin the statutory maximum of $1 million in excess damages. The Supreme Court affirmed but on slightly different grounds, holding that the PCF was required to pay the statutory maximum in excess damages and was not entitled to a set-off because of how the trial court's peculiar findings of fact interacted with the rules for calculating a set-off. View "Ind. Dep't of Ins. v. Everhart" on Justia Law

Players on a local youth soccer team sought to recover under the state youth soccer governing association's business auto-insurance policy for injuries sustained when the van in which they were riding was involved in an accident. The trial court granted summary judgment in favor of the association's insurance carrier. The court of appeals affirmed, holding that under the relevant insurance policy language, the rented van was not being used in the business of the association at the time of the accident. The Supreme Court granted transfer and affirmed the trial court, holding that because Castro was not using the automobile "in the business" of the association, a condition for coverage under the insurance policy at issue, the policy provided no coverage to the injured players. View "Haag v. Castro" on Justia Law

Appellant Indiana Spine Group provided medical services to employees of various businesses for injuries the employees sustained arising out of and during the course of their employment. The employers authorized the services and made partial payments. In each case, more than two years after the last payments were made to the injured employee, Appellant filed with the worker's compensation board an application for adjustment of claim seeking the balance of payments. The Board dismissed the applications as untimely. In each case the court of appeals reversed and remanded. At issue on appeal was what limitation period was applicable to a medical provider's claim seeking payment of outstanding bills for authorized treatment to an employer's employee when the Worker's Compensation Act was silent on the question. The Supreme Court reversed the Board, holding (1) the limitation period contained in the general statute of limitation enumerated in Ind. Code 34-11-1-2 controlled; and (2) because Appellant's claim was timely under the statute, the Board erred by dismissing Appellant's application. View "Indiana Spine Gp., PC v. Pilot Travel Ctrs., LLC" on Justia Law

Plaintiff, the executor of a decedent's estate, settled medical malpractice claims against several medical care providers for the decedent's wrongful death. Plaintiff then initiated this action against Defendant, the Indiana Patient's Compensation Fund, for damages that exceeded the $250,000 future value of her settlement with the medical providers pursuant to the Indiana Medical Malpractice Act. The trial court awarded Plaintiff the full amount. Defendant appealed, challenging the trial court's ruling that damages under the Adult Wrongful Death Statute (AWDS) included expenses of administration, contingent attorney fees, and loss of services. The court of appeals affirmed the trial court. The Supreme Court affirmed, holding that such damages may be sought under the AWDS. View "Ind. Patient's Comp. Fund v. Brown" on Justia Law

Franklin Electric formed two new subsidiaries and started new unemployment experience accounts with a low introductory contribution rate for each one, which equaled about half the experience rating of Franklin Electric. The Department of Workforce Development later canceled the subsidiaries' experience accounts, and all experience balances and liabilities reverted to Franklin Electric. The Department also demanded back payments, interest, and a ten percent penalty. A liability administrative law judge (LALJ) affirmed the Department's determination that the three entities were a single employer but waived the penalty imposed by the Department. The court of appeals affirmed. The Supreme Court granted transfer and vacated the opinion of the court of appeals and affirmed the determination of the LALJ, holding (1) the new subsidiaries were not new employers because they were not distinct and segregable from Franklin Electric; (2) Franklin Electric's experience rating should have applied to contributions made by the subsidiaries; and (3) because there was no evidence suggesting improper conduct on the part of Franklin Electric, the penalty was not appropriate. View "Franklin Elec. Co. v. Unemployment Ins. Appeals of the Ind. Dep't of Workforce Dev." on Justia Law