Insurer sues customer over deductible payments on legal fee insurance

By Louisiana Record reports | Dec 13, 2013

GRETNA – An insurance company is suing an equipment company claiming it owes deductible payments on fees for insurance covering legal fees.

Lexington Insurance Company filed suit against Dean Equipment Inc. in the 24th Judicial District Court on Nov. 22.

Lexington Insurance Company claims that they insured Dean Equipment Inc., a provider of land clearing and dredging services, with an insurance policy with a $25,000 deductible for legal fees insurance. The plaintiff asserts the defendant paid $38,015.05 in legal defense costs before it was released from a claim in their favor.

Lexington Insurance Company alleges it paid the entire amount of legal fees and are seeking reimbursement for the $25,000 deductible, but that Dean Equipment Inc. has refused to provide the payment.

The defendant is accused of breach of contract.

Damages in the amount of $25,000 are sought by the plaintiff.

Lexington Insurance Company is represented by Omar K. Mason of New Orleans-based Montgomery Barnett LLP.

The case has been assigned to Division D Judge Scott U. Schlegel.

Case no. 733-205.

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