Slay's Restoration, LLC v. Wright National Flood Insurance Co., No. 17-1106 (4th Cir. 2018)Annotate this Case
A subcontractor hired by a property owner's contractor to repair flood damage to the owner's property was not injured in its business or property by reason of a pattern of racketeering allegedly carried out by the property owner's insurance company and its independent consultants to reduce the amount paid on the property owner's insurance claims for reimbursement of the repair costs. In this case, the Fourth Circuit held that the property owner's subcontractor, Slay's Restoration, was not proximately caused by conduct of the insurance company, and Slay's Restoration therefore failed to state a plausible claim under the Racketeer Influenced and Corrupt Organizations Act (RICO) against the insurance company and its consultants upon which relief could be granted. Therefore, the court affirmed the district court's dismissal of Slay's Restoration's complaint.