Denver Team Prevails on Motion to Dismiss Negligence Claim on Behalf of Insurance Agency

June 2023

Partners Craig JacobsonAndrew Lavin, and Associate Abigail Kregor obtained a dismissal from the District Court, Mesa County, Colorado, based on a motion to dismiss on behalf of their client, an insurance agency.

The plaintiffs claimed that its insurance agents negligently obtained an insurance policy containing an exclusion that negatively impacted them in the defense of another lawsuit. The court agreed that the claims were barred by the applicable statute of limitations and that the plaintiffs failed to allege facts supporting a special relationship, which is required for a breach of fiduciary duty claim in Colorado. Moreover, the court agreed that the plaintiffs had received the benefit of their bargain and could not pursue a claim for unjust enrichment.