Truck owner alleges breach of contract by dealer, financer, insurer

David Yates May 28, 2008, 8:32am

Seeking around $75,000 for a truck he totaled, Jeremy Pelican has filed suit against the companies who sold, financed and insured his vehicle.

Pelican's breach of contract suit was filed on May 27 in the Jefferson County District Court. The defendants named in the suit are Mike Smith Autoplex Dodge, CitiFinancial, Southwest Business Corp. and StoneBridge Casualty.

According to Pelican's suit, he purchased a vehicle from Mike Smith back in March 2006 and financed it through Citi at the time of purchase through a "GAP" policy issued by SWBC and covered by StoneBridge.

"Under the terms of the policy, plaintiff received coverage for a deficiency balance in the event the vehicle was involved in an accident and considered a total loss," the suit said.

Plaintiff was involved in a car accident in 2006 and submitted a claim. The claim has not been entirely paid and plaintiff has suffered irreparable damages to his credit and has been prohibited from purchasing a replacement vehicle."

Pelican goes on to allege StoneBridge failed to conduct a reasonable investigation. He alleges all the defendants are guilty of bad faith, breach of contract and Deceptive Trade Practices.

He is suing for actual and exemplary damages, plus court costs.

Pelican is demanding a trial by jury and is represented by attorney Barrett Lindsay.

Judge Donald Floyd, 172nd Judicial District, has been assigned to the case.

Case No. E181-814

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