Opinion ID: 2346429
Heading Depth: 1
Heading Rank: 6

Heading: The Insurance Companies

Text: The Court of Special Appeals seemed to treat the eight insurance companies named as defendants in the Third Amended Complaint as being in the same position as Chevy Chase. They clearly were not in that position. The earliest suit against the first sixSecurity of America and its allied companiescame on September 5, 2000more than three years after Ms. Pappano acknowledges that she was on inquiry notice that there was no insurance on her husband's life. Ms. Pappano seeks to defend her delay on the basis that she was unaware that some of the insurance companies had any involvement with Chevy Chase until after suit was filed against that bank. With respect to Security of America and its allied companies, that is simply not the case. Ms. Pappano admitted that the agreement between Chevy Chase and Security of America was disclosed to her in August, 1999four months before she filed suit against Chevy Chase. With respect to the others, although Chevy Chase did not immediately disclose all of the documents sought in discovery, there is no evidence that either it or any of the insurance companies fraudulently concealed the existence of the insurance companies from Ms. Pappano. By her own admission, she was on inquiry notice in the Spring of 1997 that the insurance contracted for on her husband's life was not in effect. She had three years from that point to learn why and to discover who was responsible. As we have indicated, the limitations period is not tolled until her investigation bears fruit; it runs from the time she was on inquiry notice. The actions against the insurance companies are clearly barred, and summary judgment was properly granted as to them. [4] JUDGMENT OF COURT OF SPECIAL APPEALS AFFIRMED IN PART AND REVERSED IN PART; CASE REMANDED TO THAT COURT WITH INSTRUCTIONS TO AFFIRM JUDGMENT OF CIRCUIT COURT FOR MONTGOMERY COUNTY AS TO DEFENDANT INSURANCE COMPANIES, TO REVERSE JUDGMENT AS TO CHEVY CHASE DEFENDANTS, AND TO REMAND CASE AS TO CHEVY CHASE DEFENDANTS FOR FURTHER PROCEEDINGS. COSTS IN THIS COURT AND IN COURT OF SPECIAL APPEALS TO BE PAID ONE-HALF BY CHEVY CHASE DEFENDANTS AND ONE-HALF BY RESPONDENT PAPPANO.