Court Finds University Not Liable for Criminal Act of its Student

In South Alexander Development I, LLC v. Markel American Insurance Co., the U.S. District Court for the Middle District of Louisiana granted an insurer’s motion for summary judgment finding that the insured’s failure to cooperate violated the policy’s coverage terms and voided coverage.

The dispute arose from a commercial first-party property loss following Hurricane Ida. The insurer moved quickly to adjust the claim by retaining an independent adjuster and engineers to evaluate the damage to and value of the insured property. It also asked the insured to produce documentation needed to complete the adjustment, including records of installation costs, monthly revenues, and repair estimates. The insured did not respond.

Additionally, the insurer sent numerous emails over the course of the claim requesting information about (1) the costs the insured had incurred; (2) documentation supporting the income loss claim, along with quotes, estimates, and proposals for repairs; and (3) the scope of work for testing and repairs. However, most of these requests went unanswered.

Based on this evidence, the court determined that the insured violated the terms of the policy because it failed to cooperate with the insurer’s investigation. Most notably, the insured obtained repair estimates and proposals from its own contractor and withheld them from the insurer until after suit was filed. The insured also never submitted a completed proof of loss, even though the policy required submission of such a document that included estimates and “other reasonable information” the insurer needed to settle the loss. These acts showed the insured failed to “cooperate with [the insurer] in performing all acts required by this policy.”

The insurer showed that it pursued the information diligently and that the insured’s breach was both material and prejudicial. The court found (1) the insurer had documented repeated, specific requests for nearly a year, (2) the withheld documents went directly to quantifying the loss, and (3) the insured’s noncompliance deprived the insurer of its right to investigate the insured’s claim.

As a result, the court granted summary judgment finding no genuine issue of material fact relating to the insured’s breach of the policy’s cooperation clause. The insured was precluded from bringing a breach of insurance contract claim and therefore, without a valid contractual claim, the insured also could not pursue a bad faith claim against the insurer.

References:

South Alexander Development I, LLC v. Markel American Insurance Co., CV 23-1436-JWD-SDJ, 2026 WL 1819120 (M.D. La. June 24, 2026).

Sometimes in law, the facts of a case may threaten to eclipse the legal issue. However, Louisiana law instructs the fact finder to see through the facts, and their sometimes tragic nature, and apply the law as written. As Aristotle once wisely said, “The Law is reason free from passion.”

In Kazan, et. al. v. Red Lion Hotels Corporation, et. al., 2021-CC-01820 (La. 6/29/22), the Louisiana Supreme Court recently ruled on a case with tragic facts, and its ruling provides an example of Aristotle’s description of law in action. In Kazan, a female patron was in the parking lot of a motel when a male patron approached her and used Kazan’s vehicle to abduct her from the premises. The car was later found submerged in a lake, and Kazan’s body was recovered from the water. The family filed a tort suit against several parties, including the motel’s owner and its insurer, the Great Lakes Insurance Company SE.

Great Lakes filed a motion for summary judgment and asked to be dismissed on grounds that coverage for the event was excluded from its policy. Specifically, the insurer argued that bodily injury caused by an “assault,” “battery,” or “physical altercation” was excluded under the policy’s terms. Great Lakes further argued that the kidnapping and ultimate death of the patron was excluded under the policy as bodily injury caused by an assault, battery, or physical altercation. The Louisiana Supreme Court agreed and reversed the decision of the trial and appellate courts.

Under Louisiana law, “[a]n insurance policy is a contract between the parties and should be construed using the general rules for the interpretation of contracts.” Id. at p. 3. “When the words of an insurance policy are clear and explicit and do not lead to absurd consequences, courts must enforce the language as written.” Id. at p. 3. “Courts lack authority to alter the terms of an insurance policy under the guise of interpretation and should not create an ambiguity where none exists.” Id. at p. 3.

With these basic rules in mind, the Court carefully reviewed the wording of the exclusion in the Great Lakes policy which stated as follows: “This insurance does not apply to ‘bodily injury,’ ‘property damage,’ or ‘personal advertising injury’ arising out of an ‘assault,’ ‘battery,’ or ‘physical altercation.’” “Physical altercation” was defined in the policy as “a dispute between individual [sic] in which one or more persons sustain bodily injury arising out of the dispute.” Citing Merriam-Webster’s dictionary, the Court defined the term “dispute” as “verbal controversy” or “quarrel.”

Based upon the evidence in the case, the Court found the female patron was involved in a “dispute” with her male attacker, and ultimately sustained bodily injury as a result of the dispute. Therefore, the patron was injured in a physical altercation, as defined under the specific terms of the Policy, and coverage for the event was excluded under the policy’s terms.

The Court noted as follows: “The facts of this case are undoubtedly tragic. Nonetheless, absent a conflict with statutory provisions or public policy, insurers are entitled to limit their liability by imposing reasonable conditions upon the policy obligations they contractually assume. That is what Great Lakes did in the insurance policy at issue here.” Despite the tragic facts presented in the case, in so holding, it appears the court agreed with Aristotle’s belief that the Law is Reason Free from Passion.

The First Circuit Court of Appeals affirmed the Trial Court’s ruling that granted summary judgment in a premises liability case filed following an accident that occurred at the LSU Hilltop Arboretum. The Louisiana Supreme Court recently denied writs seeking review of the lower courts’ rulings. Keogh Cox attorneys, Brian T. Butler and C. Reynolds LeBlanc, defended the case.

In Hebert v. Louisiana State Univ. Sys. Bd. of Supervisors Through Louisiana State Univ., the plaintiff went to the LSU Hilltop Arboretum to attend a wedding. Before the wedding, she went to the ladies’ room located in the outdoor pavilion area. The door to the restroom is controlled by an automatic door closer. The plaintiff alleged that the door began to close with “excessive force” when she exited the ladies’ room, and her finger was injured when it slid into the hinge-side of the door.

The plaintiff claimed the automatic door closer was defective because it was not properly adjusted at the time of the accident. The plaintiff retained an expert professional engineer to support her claims. The expert inspected the door and the door closer approximately 19 months after the incident. He testified that when he inspected the door, it was closing too fast, was out of adjustment, and had been improperly maintained. The plaintiff argued these findings showed the door was also defective at the time of the accident.

The expert also said the doors should have been inspected and adjusted every six months. The plaintiff argued the alleged problem with the door would have been discovered if it was inspected as her expert recommended.

Keogh Cox filed a Motion for Summary Judgment on behalf of the defendants. First, we argued the plaintiffs failed to produce evidence that the door was defective on the date of the accident. While the expert opined the door was defective when it was inspected nineteen months after the accident, the plaintiff had no evidence to show the alleged defect existed at the time of the accident. Keogh Cox asserted that the expert’s testimony claiming a defect was pure speculation. The court agreed and found the plaintiff failed to show the door presented an unreasonable risk of harm.

Second, we argued the plaintiff could not show LSU had prior notice that the door was defective at the time of the accident. As the door to the primary restroom on the premises, it was frequently used. There was no evidence of any prior complaints or reports of problems with the door before the accident. The plaintiff argued that notice could be found because LSU did not have a set inspection plan for the door as her expert recommended.

The court rejected this argument, stating “The opposite is true; in the absence of other facts such as recorded complaints about a defect or hazard, the lack of a plan of inspection implies that the public entity has no knowledge of dangerous defects or conditions.” Thus, the court found the plaintiff failed to show LSU had notice of the alleged problem with the door.

Reference:

Hebert v. Louisiana State Univ. Sys. Bd. of Supervisors Through Louisiana State Univ., 2025-0246 (La. App. 1 Cir. 11/7/25), 424 So. 3d 809, writ denied, 2025-01542 (La. 2/10/26), 425 So. 3d 1205.