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MADISON - ST. CLAIR RECORD

Tuesday, May 14, 2024

Insurance company, agent accused of improperly interfering in litigation

Lawsuits

BELLEVILLE - Newton homeowners claim an insurance company and its agent interfered in a civil litigation involving claims that a truck driver crashed into their home, resulting in a lesser judgment. 

Randy and Cindy Gorrell, of Newton, filed suit June 3 in St. Clair County Circuit Court against Heartland Mutual Comany, Denver Insurance Company, a subsidiary, and agent Harry Fehrenbacher.

The suit stems from a collision on July 24, 2014, when a concrete truck owned by Schrey Systems allegedly crashed into the plaintiffs' house on East 600th Street in Newton. It was later found the house was destroyed beyond repair.

Heartland paid the plaintiffs $113,031 towards the actual cash value of the house. Further payments totaling $76,769 were made for personal property damage, temporary repairs, and living expenses.

The couple also sued Schrey for damages, which led to the complaint alleging the insurance company entered into a separate agreement with the defendant in the initial action.

"Attached to the Defendants' Motion in Limine was a document identified as 'Subrogation Release and Joint Affidavit' executed ostensibly on October 31, 2017, by representatives of both Heartland and Mercury," the present filing states. Mercury issued the policy.

According to the complaint, "Plaintiffs first discovered the existence of the 'Subrogation Release and Joint Affidavit' immediately upon being advised by their attorney on or about November 1, 2017.

"Shortly before trial in the other lawsuit, and upon surprise receipt of the Motion in Limine, the trial was continued.

"By entering into a Subrogation Release and Joint Affidavit prior to the Gorrells securing a judgment in the other lawsuit and by attempting to enforce same via a motion in limine prior to any judgment being obtained in the other lawsuit, Plaintiffs' evidence and damages were compromised, resulting in the impairment and/or reduction in value of their damages in that other lawsuit against Schrey Systems," the suit states.

Heartland is accused of civil conspiracy for "unfairly" diminishing what the plaintiffs could have recovered in the lawsuit against Schrey.

The defendants are also accused of intentional infliction of emotional distress, breach of contract, tortious interference with a prospective economic advantage, willful and wanton conduct, fraudulent concealment, fraud in the inducement or fraudulent representation, a violation of the Illinois Consumer Fraud and Deceptive Business Practices Act, and abuse of process.

The plaintiffs, who are seeking $50,000 in damages plus the same in a punitive damages, are represented by Brian M.Wendler of the Wendler Law Firm in Edwardsville.

St. Clair County Circuit Court case number 2020-L-0439

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