A Path to Victory: One Educational Training Center’s Road to Justice
The Patterson Law Firm, LLC won an insurance coverage jury verdict for $534,000 in Cook County on June 16, 2011. The case involved the burglary of a company offering comprehensive software education training in July of 2003. The burglary resulted in a loss of equipment that led to the cancellation of classes; comprising more than 50% of the institute’s revenue. The institute’s owner claimed breach of contract against his insurance company for property loss, repairs to the premises and extra expenses incurred in trying to resume operational costs and business income lost.
Facing an Unjust Denial from an Insurance Carrier
Although it admitted that a loss occurred and that the stolen equipment and software was worth at least $137,000, the insurance company denied coverage and refused to pay anything for the claim. It maintained the software educational training company was not entitled to any payment under the policy because the institute’s owner allegedly misrepresented or concealed material facts during the intense eight-month insurance investigation. In May of 2010, the institute — still having received no compensation from the insurance company and unable to revive the classes that were cancelled due to the burglary — took the case to trial. However, the insurance company won this trial and the institute was left with nothing.
How Patterson Law Firm Turned the Case Around
After this loss, the software educational training center retained the Patterson Law Firm, LLC to write a post-trial motion seeking a new trial. After full briefing and argument, the trial judge granted a new one. The firm then defeated the insurance company’s petition for leave to appeal that decision.
Securing a $534,000 Verdict for Our Client
At the new jury trial, the software educational training center obtained a jury verdict of $534,000 for the equipment the insurance company had valued at $137,000. The verdict included compensation for all losses claimed: business income loss, lost equipment and software, building repairs and extra expenses incurred in trying to resume operations.
To learn about similar services we offer visit our litigation practice areas page. Patterson Law Firm takes a variety of cases. If you have a case similar to the one above or in one of our other practice areas, contact us at (312) 223-1699 or click here
Frequently Asked Questions About Insurance Coverage Disputes
If your business insurance claim is denied, the first step is to carefully review the denial letter from your insurance company to understand their reasoning. Next, gather all documentation related to your claim and policy. It is highly advisable to contact an experienced insurance coverage dispute lawyer in Chicago who can assess your case, challenge the denial, and represent your interests, even if it means taking the case to trial.
Yes, you can sue your insurance company. If an insurer wrongfully denies a valid claim, fails to investigate properly, or does not honor the terms of your policy, you may have grounds for a breach of contract lawsuit. As this case shows, even if a previous attempt was unsuccessful, a skilled litigation firm can secure a successful outcome.
In a successful business interruption claim lawsuit, a business can recover compensation for a variety of losses. This typically includes lost net income, ongoing operational expenses like rent and payroll, costs for temporary relocation, and extra expenses incurred to resume operations, as demonstrated by the $534,000 verdict we secured for our client
