Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-1_99-cv-05583/USCOURTS-caed-1_99-cv-05583-32/pdf.json

Nature of Suit Code: 110
Nature of Suit: Insurance
Cause of Action: 28:1332 Diversity-Insurance Contract

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UNITED STATES DISTRICT COURT

EASTERN DISTRICT OF CALIFORNIA

UNITED STATES FIDELITY &

GUARANTY COMPANY, a Maryland

corporation,

Plaintiff,

v.

LEE INVESTMENTS LLC d.b.a THE

ISLAND, a California limited

liability company and DIANA

CONLEY, an individual,

Defendants.

________________________________

AND RELATED COUNTERCLAIMS,

CROSS-CLAIMS AND THIRD-PARTY

COMPLAINTS.

 

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1:99-cv-5583 OWW SMS

ORDER GRANTING MOTION IN

LIMINE NO. 15 OF USF&G AND

AMERICAN SPECIALTY TO

EXCLUDE DOUBLE HEARSAY

TESTIMONY AS TO ALLEGED

POSITION OF AMERICAN

SPECIALTY, TO EXCLUDE

HEARSAY AND IRRELEVANT

TESTIMONY OF THIRD PARTIES

CONCERNING UNDERWRITING ON

PRIOR POLICY AND TO EXCLUDE

THE VAGUE AND PREJUDICIAL

AND IRRELEVANT USE OF THE

TERM “CONSTRUCTION-LIKE”

On January 18, 2007, Motion in Limine No. 15 of Plaintiff,

Counterdefendant and Counterclaimant United States Fidelity &

Guaranty Company (“USF&G”) and American Specialty Insurance

Services, Inc. (“American Specialty”) to exclude double hearsay

testimony of Lisa Ehrlich, to exclude prejudicial and irrelevant

hearsay testimony of a third party as to the underwriting

position of American Specialty and to exclude the use of the

prejudicial and ambiguous term “construction-like,” came on for

Case 1:99-cv-05583-LJO-SMS Document 610 Filed 02/01/07 Page 1 of 3
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hearing before the Honorable Oliver W. Wanger, United States

District Judge. After having considered the motion and moving

papers submitted by USF&G and American Specialty and memorandum

of points and authorities in opposition of Lee Investments LLC

(“Lee”) and Aon Rick Services, Inc. of Central California

Insurance Services (“Aon”) and after oral argument, 

IT IS ORDERED:

Motion in Limine No. 15 is granted.

1. The hearsay testimony of Lisa Ehrlich that Joanne Moore

of Aon told her that an unspecified person at American Specialty

said that water slide construction was covered under an amusement

park classification is inadmissible hearsay and is so inherently

prejudicial and unreliable that the Court exercise its discretion

under Rule 403 of the Federal Rules of Evidence to find that such

testimony is prejudicial, confusing and that its misleading

effect totally outweighs its evidentiary value. The Court

precludes such testimony as an admission or statement of either

American Specialty or USF&G. To the extent that Lee is permitted

to introduce the alleged statement of Joanne Moore, Aon’s rights

to fully cross-examine Lisa Ehrlich (or any other witness

asserting this statement) are preserved in full, notwithstanding

that the statements are not otherwise admissible. This ruling

does not preclude the same evidence from being admitted against

Aon or to show Lee’s state of mind, Lee’s conduct in response to

this statement, and what the contract means and what Lee and Aon

intended.

2. Counsel, the parties, and witnesses shall not use the

term “construction-like” because it is an argumentative term and

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confusing in the context of the case and is not a term utilized

in the ordinary course of the workers compensation insurance

industry. 

3. The hearsay evidence of third parties concerning

underwriting of American Specialty on a prior policy, including

but not limited to a memorandum dated July 7, 1998, by Joey

Roberts of Industrial Indemnity, is excluded from evidence on the

grounds that such statements are irrelevant, hearsay and lacking

in foundation and is prejudicial and counsel, witnesses and the

parties shall not seek to introduce it into evidence or refer to

such testimony or evidence.

DATED: February 1, 2007.

_/s/ OLIVER W. WANGER________

Oliver W. Wanger

UNITED STATES DISTRICT JUDGE

usf&gs order on mtn in limine 15

Case 1:99-cv-05583-LJO-SMS Document 610 Filed 02/01/07 Page 3 of 3