The Long-Haul Was Worth It
As a champion of the insurers’ recovery rights, Denenberg Tuffley’s resilience secured an eight-figure subrogation settlement.
On Saturday, December 15, 2001, a major fire broke out at Double Eagle Steel Coating Company, the largest flat-rolled steel electro-galvanizing facility in the world, located in southeastern Michigan. The independent adjuster called DT during the blaze. Paul Hines and Todd Denenberg were on the scene while the plant was burning. The insurance market promptly retained DT as its sole subrogation law firm.
Preliminary indications were the fire started in the facility’s strip cleaning operation located on the sixth floor, but quickly spread through the building’s air handling system. The entire sixth floor was destroyed. No steel could be coated. The plant was down for months.
Denenberg Tuffley attorneys worked with employees of the insured within the plant immediately after the fire and worked closely with the retained origin and cause investigator.
The tank manufacturer soon settled out after the first mediation. Through lengthy discovery, DT assembled evidence against several defendants, including the ones that installed and aligned the over-heated bearing.
Thus began a long series of litigation series of litigation steps that required DT to overcome numerous obstacles.
Denenberg Tuffley worked closely with the insured despite the commercial sensitivities of a joint venture partner as a defendant.
The firm learned crucial information likely not otherwise available, secured a partial summary judgment against a critical defendant and defeated an esoteric and complicated liability coverage denial.
Since arriving on scene while the plant was still burning, Denenberg Tuffley advocated for the recovery rights of the insurance market. And they succeeded, providing the market with an eight-figure subrogation settlement. The long haul was worth it.