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Elderly Care Facility v. Insurance Adjuster

March 2008

Sedgwick obtained a demurrer without leave to amend for our client, an individual insurance adjuster, in an action filed in state court in California alleging breach of fiduciary duty and intentional interference with contractual relationship. Our client was sued personally for damages that allegedly arose from his loss adjusting services related to a catastrophic water intrusion at a large elder care facility. Sedgwick prevailed by convincing the court that the agent for disclosed principal rule controlled and that, as a matter of law, an independent insurance adjuster does not owe a fiduciary duty to an insured.