Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Texas high court hears dispute over appraisal clause when coverage issues overlap
Summary
The Supreme Court of Texas heard argument in case no. 250461 involving Ace American Insurance Company over whether an insurance-policy appraisal clause must be enforced when valuation questions are interwoven with coverage issues such as mold remediation, code compliance and causation.
The Supreme Court of Texas heard oral argument in case number 250461 on whether an insurance-policy appraisal clause requires appraisal when coverage questions—including mold remediation, building-code compliance and causation—are intertwined with valuation. Counsel told the court insurers acknowledged coverage and paid $9,200,000 while the policyholder sought about $40,000,000, leaving a disputed gap of roughly $30 million.
Counsel identified the central dispute as whether appraisal is the mandatory method to resolve the amount of loss or whether a trial court may first resolve coverage-related questions that could change what the appraisers should value. "They had paid $9,200,000, and the policy holder said the claim was about $40,000,000," Speaker 1 told the court, summarizing the factual difference the appraisal would decide.
The party…
Already have an account? Log in
Subscribe to keep reading
Unlock the rest of this article — and every article on Citizen Portal.
- Unlimited articles
- AI-powered breakdowns of topics, speakers, decisions, and budgets
- Instant alerts when your location has a new meeting
- Follow topics and more locations
- 1,000 AI Insights / month, plus AI Chat
