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Wi Legal News Update
Supreme Court Denies Insurance Company's Indemnification Claim
Back in 2006, an explosion at the Cedar Grove Resort in Door County, Wisconsin killed two people and injured several others. The explosion occurred allegedly because a company installing underground electrical wire struck a propane gas line. The victims of the explosion sued the companies involved, and their insurance companies, in federal court. Ultimately, the victims' lawsuit settled. After the settlement, AEGIS, one of the insurance companies involved, sued the installer of the electrical wire, Arby Construction, Inc. in state court, arguing that Arby must indemnify AEGIS for the damages that AEGIS paid as a result of the settlement. The Supreme Court of Wisconsin ruled in favor of Arby, holding that AEGIS brought a similar indemnification claim in the victims' federal lawsuit, and that the settlement of that lawsuit disposed of AEGIS's indemnification claim.
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