Dorfman v. State Farm General Ins. Co. CA4/1
Plaintiff and appellant Robert Dorfman sued defendant and respondent State Farm General Insurance Company (State Farm), alleging breach of his first party unit owner's insurance policy terms and bad faith policy handling. Dorfman's investment property, a third floor condominium unit (the property, unit 304), sustained water damage in the shower area when the shower drain seal in the condominium unit above (unit 404) dried up, leakage began and part of his drywall ceiling failed. State Farm afforded Dorfman only limited coverage under a collapse endorsement but denied coverage under an amended physical loss/water damage endorsement, based on its conclusions that a "continuous or repeated seepage or leakage" had occurred and caused an excluded loss. After a jury trial, judgment was entered for State Farm and Dorfman appeals.
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