Birmingham apartment fire leads to $27.1 million verdict
A Missouri jury awarded $27.4 million in a trial last week stemming from a 2018 Birmingham apartment fire.
The jury found in favor of Maxus Metropolitan, which managed the Metropolitan Apartments in Birmingham.
Maxus brought a breach of contract case against Travelers Insurance Co. after it would not pay covered losses following the fire at the apartments on September 27, 2018.
Birmingham Fire and Rescue Service responded at 12:40 a.m. to the complex, which was under construction – at 30th Street and Seventh Avenue South.
The building was a four-story apartment complex under construction that was about 80 percent complete but still lacking windows and doors. No one lived in the complex which burned, which was a second phase of the nearby Metropolitan development.
Officials with Birmingham Fire and the Bureau of Alcohol, Tobacco, Firearms and Explosives later said the fire was intentionally set. Residents in another part of the development were later asked to move.
According to Missouri Lawyers Media, Maxus contended that the fire resulted in direct physical losses that the insurance company did not fully paid. Travelers argued that it had paid all amounts under the policy.
After the two week trial, the jury awarded Maxus 100 percent of damages, including attorney’s fees and damages. The amount covered rebuilding costs, water damage, soot damage and other losses.
“We are very happy to achieve this favorable result for our client,” said Lathrop GPM Partner Michael J. Abrams, who served as lead attorney on the case. “It was clear that these losses should have been covered, according to our client’s insurance policy, and we are grateful that the jury agreed.”