Judge Walker allows Burger to amend as nationwide Class denied contractor overhead & profit- Burger v USAA

Shall we say, with some apparent reluctance, Judge Walker issued an Order granting plaintiff’s Motion to Amend?

Before the Court is Plaintiffs’ July 13, 2009 motion to amend their complaint to add proposed class action allegations against USAA Casualty Insurance Company (USAA) for failing to properly pay its insureds general contractor’s overhead and profit…The Court having considered the motion pleadings and argument of the parties finds that in light of the liberal standard applicable to amended pleadings, the fact that the motion to amend was timely filed under the case management order, and discovery is ongoing, the Court finds insufficient basis for denying the motion. It is therefore, ORDERED that Plaintiffs’ motion to amend the complaint is granted, this the 19th day of  October, 2009.

Contractor overhead and profit is such an expected construction cost, it simply never occurred to me that payment could be a disputed issue.  Consequently, I found the Affidavit of Stephen L. Strzelec incredibly interesting.  Strzelec has been working as a claims practices expert since November 2002 after approximately eighteen years in the insurance industry working for State Farm:

It is a well known fact within the insurance industry as well as the adjusting community that if repairs to a dwelling require the services of three or more different “trades” (such as roofers, drywall, electricians, painters, and carpenters), then the labor involved in the hiring and coordinating of the work of the different trades during the repair process must be completed by someone. Continue reading “Judge Walker allows Burger to amend as nationwide Class denied contractor overhead & profit- Burger v USAA”