Judge Ends Insurer's Fire Claims Over Evidence Destruction

By Michael Phillis (April 8, 2021, 9:04 PM EDT) -- A Virginia federal judge found an insurance company responsible for the destruction of key evidence in a dispute over a workshop fire and sanctioned it by dismissing its attempt to recover about $160,000 from the power company whose equipment it blamed for the fire.

The judge on Wednesday dismissed Nautilus Insurance Co.'s lawsuit against Appalachian Power Co., saying there was no way for the power company to adequately defend itself without having the opportunity to collect its own evidence from a fire-damaged workshop. According to the opinion, a Nautilus representative told the workshop owner it could raze the building two months...

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