Our Experience with Insurance Arbitration

Further, our experience provides us with the knowledge to advocate against these arbitration provisions regardless of the type of loss event and regardless of the type of commercial property that has been damaged. These disputes have been subject to these unfair arbitration clauses after:

Hurricanes

For example, after Hurricane Harvey in 2017, Raizner Slania LLP represented a variety of commercial property owners across Texas, including:

• A multi-family property owner against various underwriters, AmRisc, LLC, and several insurance brokers for damages. Our firm successfully remanded all claims against AmRisc and the insurance agent, Highpoint Insurance, applying Texas and 5^th Circuit law. The arbitration against the underwriters was successfully conducted in New York and recently settled for a confidential amount.
• The owner of several commercial properties in Corpus Christi, including, strip centers, commercial and retail warehouses, and a restaurant, against underwriters, various insurers, and AmRisc, LLC for damages. The parties extensively briefed questions of arbitrability and jurisdiction to the court, including issues addressing the Convention on the Recognition and Enforcement of Foreign Arbitral Awards. The case was settled for a confidential amount in 2019 while arbitration related briefing was underway in the Southern District of Texas.
• The property owner of a real estate business against underwriters, various insurers and AmRisc, LLC, for damages resulting from Hurricane Harvey in 2017. The parties fully briefed the arbitrability of the claims pursuant to the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, and the case was settled for a confidential amount in 2020.
• The motel owner against insurer, Underwriters at Lloyd’s, London for damages. The parties submitted competing briefs regarding the arbitrability of the case, including impartiality and seat of the arbitration panel. On the eve of trial on the merits in 2019, the parties successfully resolved the case for a confidential amount.

While still helping clients recover from Harvey, Raizner Slania began assisting various Independent School Districts (ISDs) in the Rio Grande Valley after Hurricane Hanna in July 2020. Currently, Raizner Slania has been retained by multiple school districts that have dozens of campuses—some even across several counties—that have policies with arbitration provisions through AmRisc, LLC or the Velocity program, with policies produced by AmWins. With so many buildings to inspect, each ISD requires a team of engineers, adjusters and building consultants to thoroughly investigate the damage to provide accurate damage assessments to ensure these school systems are not taken advantage of further by these arbitration provisions. Raizner Slania works with some of the most highly qualified experts to prepare detailed and complex engineered damage assessments in order to prepare and prevail in arbitrations before sophisticated arbitration panels.

Hail and Windstorms

• Raizner Slania LLP represented an apartment complex owner against underwriters, various insurers and AmRisc, LLC, for damages resulting from a hailstorm in 2015. The parties requested and briefed the arbitrability of the claims, and the case settled for a confidential amount in in 2018.
• Raizner Slania LLP represented a hotel owner against underwriters, various insurers and AmRisc, LLC, for damages resulting from a wind and hailstorm in 2016. The parties engaged in litigation in both Texas and New York, briefed jurisdictional issues and the arbitrability of the claims in 2017. The case was successfully mediated and settled for a confidential amount.
• Raizner Slania LLP represented the apartment complex owner against underwriters, various insurers and AmRisc, LLC, for damages resulting from a wind and hailstorm in 2016. The parties heavily disputed common hailstorm causation issues including segregation of damages, pre-existing damage exclusions, and the legal definition of replacement cost value. After extensive litigation and negotiation, the case settled in 2017 for a confidential amount.
• Raizner Slania LLP represented the hotel owner against underwriters, various insurers and AmRisc, LLC, for damages resulting from a windstorm in 2016. The case was settled for a confidential amount in 2017.
• Raizner Slania LLP represented the apartment complex owner against underwriters and insurers for damages resulting from a hail and windstorm in 2016. We filed a motion to remand and briefed the conflicting insurance policies amongst the various underwriters in the insurer tower, including one foreign policy that required arbitration, one that required appraisal, and one that required litigation in state court. The parties also litigated ethical considerations concerning primary liability when subsequent insuring layers dispute coverage.   While jurisdictional pleadings were pending ruling, it settled for a confidential amount in 2019.
• Raizner Slania LLP represented a McAllen strip center property owner against underwriters and AmRisc, LLC, for damages resulting from a windstorm in 2018. We successfully claimed building envelope failures were caused by the storm, as well as providing expert reporting on loss of business income and fixtures/inventory. The case was settled for a confidential amount in 2020.
• Raizner Slania LLP represented the apartment complex owner against AmRisc, LLC, for damages resulting from a windstorm in 2019. The case was settled for a confidential amount in 2020.

Fire

• Raizner Slania LLP represented an apartment complex owner against underwriters, various insurers and AmRisc, LLC, for damages resulting from a fire in 2017. The Defendants disputed the scope of loss, denied based on pre-existing conditions, and argued overall repair methodology. Shortly before proceeding to arbitration in 2018, the case was settled for a confidential amount.

Negligent Construction

• Raizner Slania LLP represented an office space property owner against various underwriters, insurers and AmRisc, LLC, for damages resulting from heavy construction and vibration damages near the property in 2017. The parties litigated the denial of the claim under the Texas Insurance Code, specifically related to the ‘settlement’ and ‘wear and tear’ policy exclusions. The case against AmRisc and the insurers proceeded to arbitration in early 2020, and the claims against the insurers and AmRisc settled shortly thereafter. The negligence and trespass case against the contractor proceeded in Harris County.