Searching over 5,500,000 cases.


searching
Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.

Naxos, LLC v. American Family Insurance Co.

United States District Court, W.D. Washington, Seattle

January 9, 2020

NAXOS, LLC, Plaintiff,
v.
AMERICAN FAMILY INSURANCE COMPANY, Defendant.

          ORDER DENYING MOTION TO STRIKE OR CONTINUE

          JAMES L. ROBART UNITED STATES DISTRICT JUDGE

         I. INTRODUCTION

         Before the court is Defendant American Family Insurance Company's (“AFI”) motion to strike Plaintiff Naxos, LLC's (“Naxos”) supplemental disclosures or continue the trial date. (Mot. (Dkt. # 49); see also Reply (Dkt. # 54).) Naxos filed a response. (Resp. (Dkt. # 52).) The court has considered the parties' submissions, the relevant // portions of the record, and the applicable law. Being fully advised, the court DENIES AFI's motion.[1]

         II. BACKGROUND

         A. The Sewage Spill and Naxos's Insurance Claim

         Naxos formerly owned and operated Spiro's Greek Restaurant in Kent, Washington. (Compl. (Dkt. # 1-2) ¶ 3.1.) On August 5, 2015, “[o]ver 600 gallons of black water sewage spewed from a ruptured sewer pipe” into Spiro's. (See Id. ¶¶ 3.1-3.4.) Naxos claims that this incident caused significant damage to Spiro's and ultimately forced Naxos to cease all business operations at the restaurant. (See Id. ¶¶ 3.5-3.7.) After this sewage spill, Naxos notified its insurer, AFI, about the incident. (See Id. ¶ 3.8.) Although AFI eventually began issuing payments to Naxos in response to Naxos's insurance claim, Naxos alleges that AFI failed to adequately respond to Naxos's claim and continues to improperly withhold amounts owed to Naxos. (See Id. ¶¶ 3.9-3.34.)

         B. The Underlying Action

         Naxos filed its complaint in King County Superior Court on August 3, 2018. (See Compl. at 9.) AFI removed Naxos's lawsuit to this court on August 30, 2018. (See Not. of Removal (Dkt. # 1).) Naxos pleads causes of action for (1) breach of contract, (2) insurance bad faith, (3) negligent claims handling, (4) violation of Washington's Consumer Protection Act (“CPA”), and (5) violation of Washington's Insurance Fair Conduct Act (“IFCA”). (Compl. ¶¶ 4.1-8.5.) Naxos alleges that each cause of action arises out of AFI's handling of Naxos's claim to recover insurance proceeds as a result of the sewage spill at Spiro's. (See Id. ¶¶ 3.2-3.34.) AFI counterclaims for (1) breach of contract, (2) misrepresentation and concealment, and (3) bad faith and violation of the CPA. (Answer (Dkt. # 15) at 13-14.)

         C. Naxos's Damages Disclosures

         AFI's motion to strike centers on the timeliness and adequacy of Naxos's damages disclosures. (See generally Mot.) Naxos issued its initial disclosures under Federal Rule of Civil Procedure 26(a)(1) on November 28, 2018. (See Muth Decl. (Dkt. # 50) ¶ 7, Ex. F (“Initial Disc.”).) In those disclosures, Naxos claimed the following categories of damages:

• The cost of “experts, engineers and public adjusters”;
• The cost of appraisal;
• The cost of physical damage to Spiro's;
• Lost profits;
• “[A]ll other out of pocket expenses suffered by Naxos”;
• The “damages arising out of” AFI's breach of contract, CPA violation, IFCA violations, and bad faith under the policy; and
• Naxos's Fees and costs.

(Id. at 215.[2]) Naxos did not provide calculations or estimates of its damages in its initial disclosures. (See id.) Naxos did, however, indicate that “[t]he total amount [of damages] will be determined by an expert at a later date.” (Id.)

         In accordance with the court's case schedule, Naxos disclosed its expert witnesses on September 11, 2019. (See Am. Sched. Order (Dkt. # 14) at 1 (setting September 11, 2019, deadline to disclose expert witnesses); Muth Decl. ¶ 4, Ex. C.) Naxos disclosed one damages expert, William Partin. (Muth Decl., Ex. C at 41-89 (“Partin Rpt.”).) According to Mr. Partin's report, Naxos tasked him with “evaluati[ng] . . . claims for economic damage asserted by Naxos, LLC” arising out of Naxos's insurance dispute with ...


Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.