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Judges affirm attorney fees from State Farm’s ‘groundless’ lawsuit

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A car dealership accused of playing a role in a car fire that destroyed four cars and part of a man’s home is entitled to the more than $12,000 in attorney fees awarded to it after State Farm’s negligence lawsuit was dismissed. The Indiana Court of Appeals noted the insurer’s refusal to dismiss the claim despite knowing the dealership was not at fault for the fire.

Kenneth Burkhart, insured through State Farm Fire & Casualty Co., filed a claim with State Farm after his 2006 GMC truck caught fire while parked in his garage. The fire engulfed the garage, the truck and three other cars, and a portion of his house. Burkhart said the last people to enter the engine compartment were employees of H.H. Niswander. The dealership had performed an oil change on his truck about a week before the fire.

State Farm instituted an investigation and Timothy Herndon and Walter Herndon, of Herndon & Associates, determined the fire was a result of oil leaking from the engine and into the ignition. It was classified as an accidental fire. The report was concluded ten months before State Farm filed its complaint.

During a deposition of State Farm’s experts, Timothy Herndon explained that he believed the oil change had nothing to do with the fire and it was due to a manufacturing defect. State Farm refused to dismiss the case. The dealership filed a motion to dismiss and sought sanctions and fees. The trial court dismissed it with prejudice and ordered State Farm to pay $12,503.39 in attorney fees incurred by H.H. Niswander, noting that State Farm knew prior to filing the suit that the dealership did not cause the fire.

In State Farm Fire & Casualty Company a/s/o Kenneth Burkhart v. H.H. Niswander, 35A02-1307-CT-638, State Farm appealed the order to pay attorney fees. But the Court of Appeals affirmed, finding State Farm’s lawsuit was groundless.

“Based on our standard of review, we cannot find with a definite and firm conviction that the trial court made a mistake in determining that State Farm pursued the lawsuit against H.H. Niswander without evidence that H.H. Niswander was negligent or caused the fire,” Chief Judge Nancy Vaidik wrote.
 

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  1. Im very happy for you, getting ready to go down that dirt road myself, and im praying for the same outcome, because it IS sometimes in the childs best interest to have visitation with grandparents. Thanks for sharing, needed to hear some positive posts for once.

  2. Been there 4 months with 1 paycheck what can i do

  3. our hoa has not communicated any thing that takes place in their "executive meetings" not executive session. They make decisions in these meetings, do not have an agenda, do not notify association memebers and do not keep general meetings minutes. They do not communicate info of any kind to the member, except annual meeting, nobody attends or votes because they think the board is self serving. They keep a deposit fee from club house rental for inspection after someone uses it, there is no inspection I know becausee I rented it, they did not disclose to members that board memebers would be keeping this money, I know it is only 10 dollars but still it is not their money, they hire from within the board for paid positions, no advertising and no request for bids from anyone else, I atteended last annual meeting, went into executive session to elect officers in that session the president brought up the motion to give the secretary a raise of course they all agreed they hired her in, then the minutes stated that a diffeerent board member motioned to give this raise. This board is very clickish and has done things anyway they pleased for over 5 years, what recourse to members have to make changes in the boards conduct

  4. Where may I find an attorney working Pro Bono? Many issues with divorce, my Disability, distribution of IRA's, property, money's and pressured into agreement by my attorney. Leaving me far less than 5% of all after 15 years of marriage. No money to appeal, disabled living on disability income. Attorney's decision brought forward to judge, no evidence ever to finalize divorce. Just 2 weeks ago. Please help.

  5. For the record no one could answer the equal protection / substantive due process challenge I issued in the first post below. The lawless and accountable only to power bureaucrats never did either. All who interface with the Indiana law examiners or JLAP be warned.

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