AJC Logistics, LLC v. Triple-S Propiedad, No. 13-2348 (1st Cir. 2015)
Annotate this CaseWhile keeping perishable foodstuffs at Economy International Systems, Inc., a cold-storage facility, Appellants lost more than one million dollars when the walk-in freezers at Economy malfunctioned. Appellants sought recovery under Economy’s insurance policy issued by Triple-S Propiedad, Inc. (“Triple-S”). The parties agreed that the policy provided coverage in this case, but the parties disagreed as to the amount of coverage. Appellant believed it was entitled to $500,000, and Triple-S stated that Appellant was only entitled to $25,000. Invoking diversity jurisdiction, Appellant filed suit against Triple-S seeking a ruling that it may recover $500,000 under the policy. The magistrate judge concluded that the policy’s coverage for losses caused by equipment breakdown was limited to $25,000. The First Circuit affirmed, holding that the most Appellant could recover for Economy’s loss of Appellant’s perishable goods was $25,000.
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