Sonnenschein Represents Insurance Client Before the California Court of Appeals in Case with Important Ramifications for the Insurance Industry
In State of California v. Continental Insurance Company, et al., No. E041425 (Cal. Ct. App.), members of Sonnenschein's appellate subgroup, Paul Glad and Katie Evans, are representing an insurance company client in an appeal that could have important ramifications for insurance companies throughout the State of California.
The case arises from claims brought by the State of California seeking to recover on insurance policies for the costs of remediating long-term contamination at a hazardous waste facility. With regard to the issues which Sonnenschein is addressing, the case has particular significance because it could determine the appropriate standard of proof for cases involving lost policies, which is currently an unsettled legal issue in California.
Sonnenschein's appellate attorneys are also litigating an important issue regarding insurance companies' obligation to retain documents, with amici curiae filing a brief advocating that insurers should be on continual notice of potential claims and that any lost policy is tantamount to spoliation of evidence. In addition to these issues of significance to the insurance industry, the case also raises significant issues concerning continuous property damage, including the "stacking" of benefits and what constitutes an "occurrence" in the context of such cases.
