United States District Court, S.D. Texas, Houston Division
H. Miller United States District Judge
Pending before the court is a brief on damages filed by
plaintiff Evanston Insurance Company
(“Evanston”). Dkt. 29. Defendant Mid-Continent
Casualty Company (“Mid-Continent”) did not
respond to Evanston's brief. Having considered
Evanston's brief and the applicable law, the court is of
the opinion Evanston should be awarded: (1) actual damages in
the amount of $1, 045, 106.63; (2) prejudgment interest in
the amount of $87, 187.66; and (3) costs and postjudgment
filed this subrogation action seeking reimbursement from
Mid-Continent for a portion of the payments Evanston made on
behalf of their mutually insured, Global Waste Services LLC
(“Global”). Dkt. 1. Mid-Continent issued a
commercial automobile policy to Global with a $1, 000, 000
per-accident limit of liability. Id. ¶ 1.
Evanston insured Global under an excess liability policy that
was written in excess to the Mid-Continent policy.
Id. ¶ 2.
case involves the payment of claims that resulted from a
series of collisions involving a Global employee on November
15, 2013. Dkt. 14 ¶ 3. Evanston argued that four
different accidents occurred, and that Mid-Continent was
responsible for policy limits for each. Dkt. 15 at 16-17.
These accidents include:
(1) a collision with Alexander Garcia's F150;
(2) a collision with Joseph Williams's Honda;
(3) a collision with a Harris County tollbooth; and
(4) a collision with Gwenetta Powell's Charger.
Id. Mid-Continent contended that the series of
collisions constituted only one accident for the purposes of
the $1, 000, 000 per-accident limit of
liability. Dkt. 17.
order on September 29, 2017, the court found that three
accidents occurred, resolving all of the disputed liability
issues before the court. Dkt. 28. These accidents included:
(1) the collision with Garcia's F150; (2) the collision
with Williams's Honda and the collision with the
tollbooth; and (3) the collision with Powell's Charger.
Id. The parties do not dispute that (1) the claims
resulting from the accident involving Garcia's F150
amounted to $4, 225.18; (2) the claims resulting from the
accident involving Williams's Honda amounted to $4, 588,
140; and (3) the claims resulting from the accident involving
Powell's vehicle amounted to $2, 125, 000. Dkt. 14
¶¶ 16, 17, 20, 21. Mid-Continent paid $1, 000, 000
total and claimed policy limits. See Id. ¶ 17.
Evanston paid $40, 991.45 in defense fees after Mid-Continent
claimed exhaustion. Id. ¶ 23. As the disputed
liability issues have been resolved, the only issue before
the court is damages.
A. Actual Damages
equitable subrogation claim “‘include[s] every
instance in which one person, not acting voluntarily, has
paid a debt for which another was primarily liable and which
in equity and good conscience should have been discharged by
the latter.'” Royal Ins. Co. of Am. v. Caliber
One Indem. Co., 465 F.3d 614, 618-19 (5th Cir. 2006)
(quoting Argonaut Ins. Co. v. Allstate Ins. Co., 869
S.W.2d 537, 541-42 (Tex. App.-Corpus Christi 1993, writ
denied)). Thus, Mid-Continent is liable for the amount of
claims that it should have discharged. Mid-Continent should
have paid $2, 004, 225.18 in claims, resulting from: (1) $4,
225.18 for the accident with Garcia's ...