Client Wins

Elkington Overturns Default and Secures Dismissal of All Claims for Adjuster Client

Elizabeth Elkington (Of Counsel-Portland, OR) secured summary judgment in the U.S. District Court, District of Oregon, for Wilson Elser’s insurance adjuster client. This case came to the firm’s Portland office on an Order of Default, as the plaintiff had moved for a default order but had not pursued a default judgment. Elizabeth successfully overturned the default order, allowing the case to proceed on the merits.

This matter arose after a tree struck the plaintiffs' home during a windstorm. The plaintiffs filed an insurance claim and retained our adjuster client to facilitate their claim with the insurer. Although the client secured substantial sums on their behalf, the plaintiffs claimed the funds were insufficient to complete the home repairs. They sued our client for breach of contract, failure to mitigate damages, and breach of fiduciary duty. The court rejected each claim. It found that the plaintiffs breached the contract, not our client, by failing to pay for services rendered, and that the hired adjuster had indeed secured sufficient funds to repair their home. The court further held that failure to mitigate damages is not a standalone cause of action under Oregon law and therefore dismissed that claim. Finally, the court determined that there was no breach of fiduciary duty because our client adjusters were not fiduciaries. Accordingly, the court granted judgment as a matter of law in our client's favor and dismissed the case in its entirety on our motion for summary judgment.

Elizabeth Elkington

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