Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-1_99-cv-05583/USCOURTS-caed-1_99-cv-05583-27/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. 7 OF USF&G AND

AMERICAN SPECIALTY (1) TO

PRECLUDE EVIDENCE ON ISSUES

RESOLVED BY SUMMARY

JUDGMENT AND (2) TO

PRECLUDE EVIDENCE ON ISSUES

RELEVANT TO USF&G’S

RESCISSION CLAIM 

On January 12, 2007, Motion in Limine No. 7 of Plaintiff,

Counterdefendant and Counterclaimant United States Fidelity &

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

Services, Inc. (“American Specialty”) to preclude evidence on

issues resolved by summary judgment and to preclude evidence on

issues relevant to USF&G’s rescission claim came on for hearing

before the Honorable Oliver W. Wanger, United States District

Judge. After having considered the motion and moving papers

Case 1:99-cv-05583-LJO-SMS Document 605 Filed 02/01/07 Page 1 of 3
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submitted by USF&G and American Specialty and memorandum of

points and authorities in opposition of Lee Investments LLC

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

Insurance Services (“Aon”), 

IT IS ORDERED that Motion in Limine No. 7 of USF&G and

American Specialty is GRANTED IN PART. Evidence shall not be

adduced to contradict the following issues which have been

resolved:

1. The representations by Lee in its August 12, 1998

letter to American Specialty are material as a matter of law to

the issuance by United States Fidelity & Guaranty Company of the

workers compensation insurance policy to Lee.

2. If it prevails on its complaint for rescission, USF&G

is entitled to restitution from Lee in the sum of $623,320.26 as

of May 23, 2002.

3. The USF&G policy of workers’ compensation insurance

issued to Lee is an integrated unrestricted policy of insurance.

4. The August 11, 1998, facsimile to Hugh Awtrey from Matt

Sackett, seeing information about the performance of construction

work, and the August 12, 1998 letter from Lee to Sackett, making

representations about construction work, are admissible evidence

in support of USF&G’s rescission claim.

5. USF&G restored or offered to restore all the premium

payments and no evidence has been presented from which it might

reasonably infer that USF&G intentionally waived its right to ///

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Case 1:99-cv-05583-LJO-SMS Document 605 Filed 02/01/07 Page 2 of 3
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rescind the policy. 

DATED: February 1, 2007.

_/s/ OLIVER W. WANGER________

Oliver W. Wanger

UNITED STATES DISTRICT JUDGE

usf&gs order on mtn in limine 7

Case 1:99-cv-05583-LJO-SMS Document 605 Filed 02/01/07 Page 3 of 3