First Interstate Bank and its insurer are suing each other over who gets to pay a defunct Missoula, Mont. logging company its $24.5 million verdict upheld by a state judge in April.
The Missoulian reported Kelly Logging Inc. went out of business after its bank seized stimulus money from its checking account to repay a loan that was not in default. The company sued First Interstate Bank, and a jury awarded a verdict and punitive fees of nearly $17 million.
First Interstate appealed and lost, with Missoula District Judge Ed McLean tacking on $7.5 million for attorney’s fees. The bank then sued its insurer for the entire $24.5 million when Columbia Casualty refused to pay.
Columbia Casualty’s countersuit says First Interstate Bank’s policy doesn’t cover “deliberate fraudulent” acts.
Was this article valuable?
Here are more articles you may enjoy.
Allianz Unit to Cut as Many as 1,800 Jobs in Push to Adopt AI 
Ranking: Who Are the Insurance Industry’s AI Talent, Maturity Leaders? 
Honda’s Insurance Agency Operations Stall, Services ‘Paused’ 
El Niño Likely Strongest in 75 Years, US Forecasters Say 
