A transportation company is suing Occidental Fire and Casualty Company of North Carolina, alleging it breached its contractual obligations when it refused to defend the transportation firm in a separate lawsuit.
Husky Transportation filed the lawsuit Aug. 11 in the Houston Division of the Southern District of Texas, against Occidental Fire. It follows a separate suit filed against Husky and Thomas Salyer, who, while driving a tractor insured by Husky, rear-ended a car with four passengers June 26, 2012, leading the passengers to file a suit against Husky and Salyer on Jan. 27, 2014.
Husky and its insurance carrier, Star Insurance Company, tendered the claim to Occidental twice, requesting that Occidental defend and indemnify Husky for the lawsuit, but Occidental has refused these requests, according to the suit.
The trial court judge in the underlying suit, on April 8, ordered that Salyer and his company, T&J Deliveries, owe Husky a duty to defend and indemnify as to the claims against it, but Occidental still refuses to pay for Husky's defense costs and indemnify it for the underlying suit, according to the complaint.
Husky Transportation seeks reimbursement and indemnity, plus attorney fees and court costs. It is represented by attorneys R. Brent Cooper and Robert J. Witmeyer of Cooper & Scully in Dallas.
Houston Division of the Southern District of Texas case number 4:15-cv-02314.