A federal jury in Georgia has ruled that AMCO Insurance Co. is not required to provide coverage to an Atlanta apartment complex in connection with a lawsuit filed by a resident who was shot while asleep in her unit. The decision clears the insurer of any duty to defend the property owner or pay damages tied to the incident, after jurors determined the complex failed to notify the insurer within a reasonable timeframe.

The verdict, returned Wednesday in the U.S. District Court for the Northern District of Georgia, concluded that the apartment complex’s 11-month delay in reporting the shooting was not justified. According to court filings submitted Thursday, the ruling means AMCO has no obligation to continue defending the lawsuit or satisfy any potential judgment arising from the case.

The dispute stems from an October 2022 shooting at Gardens at Washington Park 1 LLC, an apartment complex in Atlanta. Resident Zykeria Nottingham alleged that she was struck by multiple stray bullets while sleeping beside her 1-year-old son. In a settlement demand letter seeking $4 million, Nottingham claimed the gunfire erupted during a confrontation between two unidentified individuals in the property’s parking lot, which she described as unsecured and lacking proper safety measures. She said the shooting left her with catastrophic and permanent injuries.

AMCO initially provided a defense to the complex under a reservation of rights, meaning it reserved the option to later deny coverage. In February 2024, the insurer filed suit against the complex and Nottingham, asserting that the businessowners policy required the property owner to notify the insurer of any potential claim “as soon as practicable.” AMCO argued that waiting nearly a year to report the shooting violated that condition and voided coverage. The complex did not notify the insurer until September 2023.

During the litigation, Nottingham filed a counterclaim in May 2024, maintaining that AMCO was obligated to provide insurance coverage for her claims against the property. The insurer sought summary judgment, but U.S. District Judge Leigh Martin May declined to grant that request in August 2024. While acknowledging the policy’s notice requirements, the judge determined that whether the delay was justified should be decided by a jury rather than resolved at the summary judgment stage.

At trial, jurors ultimately sided with the insurer. According to a statement from Nottingham’s attorney, the jury focused heavily on evidence that the apartment complex had previously faced lawsuits tied to shootings at its properties. Jurors were told that on the same day Nottingham was shot, the complex received a demand letter in another negligent security case. That history, the attorney said, suggested the complex should have recognized the potential for a claim and promptly alerted its insurer.

By finding the delay unjustified, the jury concluded that AMCO had no contractual duty to defend the complex or indemnify it for any damages that might result from Nottingham’s lawsuit. Representatives for the insurer and the apartment complex did not immediately comment following the verdict.

The case highlights how notice provisions in insurance policies can significantly impact coverage disputes. Insurers often require policyholders to report potential claims quickly so they can investigate while evidence is fresh and manage legal exposure. Courts frequently examine whether a delay was reasonable under the circumstances, and in this instance, jurors determined that the nearly year-long gap fell short of the policy’s requirements.

The lawsuit is captioned Amco Insurance Company v. Zykeria Nottingham et al., Case No. 1:24-cv-00508, in the Northern District of Georgia. The outcome leaves the apartment complex without insurance backing in the underlying personal injury suit, raising the stakes as litigation over the 2022 shooting continu