The Baileys later hired their own engineer to evaluate the loss, who determined that the damage caused by the storm was greater than what the Lloyd’s adjuster believed, according to court filings.
4th Circuit NC Homeowners Coverage Suit : Appraisal and Legal Proceedings
The couple submitted a claim to the underwriters, and Lloyd’s made several supplemental payments, court filings stated. Because of ongoing disagreement over the amount of damage, which the couple claimed was over $2 million, the parties entered into an appraisal agreement.
In September 2021, while appraisal was underway, the Baileys filed suit against Lloyd’s in North Carolina state court. The case, which was removed to federal court the following month, was stayed pending the completion of the appraisal process, according to court filings. Shortly after, the appraisal panel awarded the Baileys over $1 million, which the underwriters paid.
Amended Complaint and Appeal
In an amended complaint filed in August 2022, the couple asserted claims of breach of contract, bad faith, violations of the North Carolina UDTPA and negligence. U.S. District Judge James C. Dever III tossed the suit in its entirety in May 2023, though the couple appealed only the dismissal of their bad faith and UDTPA claims.
