United States District Court, N.D. Illinois, Eastern Division
KABBE ENTERPRISES, INC., PAYLESS DISCOUNT MUFFLER & BRAKES, INC., PAYLESS AUTO BODY SHOP & COMPLETE AUTO REPAIR, INC., ZANASA, INC., and MEHMET GUZELDERE, Plaintiffs,
THE TRAVELERS INDEMNITY COMPANY and ROOFING CONSULTANTS LIMITED, Defendants.
MEMORANDUM OPINION AND ORDER
Z. LEE UNITED STATES DISTRICT JUDGE.
diversity case, Plaintiffs have sued their insurer, The
Travelers Indemnity Company (“Travelers”), a
Connecticut corporation, for breach of an insurance contract
under Illinois law. They have also brought a negligence claim
against Roofing Consultants Limited (“RCL”), a
Wisconsin company hired by Travelers to inspect
Plaintiffs' roof for hail damage. Defendants have each
moved for summary judgment. For the following reasons, both
motions are granted  . This case is terminated.
Mehmet Guzeldere owns several auto repair shops and bought an
insurance policy for the properties from Travelers through
his insurance agent, Yusuf Ozkaymak, of Trojan Insurance
Agency. Travelers' LR 56.1(a)(3) Stmt. ¶¶ 1, 7,
10. The policy at issue, Policy No. I-680-8416P163-TIA-11,
covered Payless Discount Muffler & Brakes, Inc., located
at 2219 South Western Avenue in Chicago, Illinois (the
“Payless Property”). It was originally issued by
Travelers for a one-year term effective March 26, 2010, and
was renewed on March 26, 2011, for an additional one-year
term. Id. ¶ 5.
Policy requires the insured to “give prompt notice of
the loss or damage.” Business Owners' Property
Coverage Policy, § E.3.a(2). The Policy also contains a
limitation that requires the insurer to file suit under the
Policy within two years of the loss:
Legal Action Against Us
may bring a legal action against us under this Coverage Form
a. There has been full compliance with all of the terms of
this Coverage Form; and
b. The action is brought within 2 years after the date on
which the direct physical loss or damage occurred.
The 2 year period for legal action against us is extended by
the number of days between the date the proof of loss is
filed with us and the date we deny the claim in whole or in
LR 56.1(a)(3) Stmt. ¶ 34.
agent binds coverage for one of its clients, Travelers'
normal practice and procedure is to print complete copies of
the insurance policy and mail it to the agent. Travelers'
LR 56.1(a)(3) Stmt. ¶ 16. Ozkaymak would usually receive
the copies in the mail, and he would deliver one copy to the
client and keep the other copy in his files at Trojan.
Id. ¶ 17. Although Ozkaymak states that he
delivered a copy of the Policy to Guzeldere when it was
originally issued and then amendments thereto when the policy
was renewed, Guzeldere does not recall ever seeing one.
Pl.'s LR 56.1(b)(3)(B) Stmt. (Travelers) ¶¶
19-20. Guzeldere had instructed Ozkaymak to “hold all
the papers” related to his insurance because Guzeldere
was not good at keeping track of things. Id. ¶
12. It is undisputed that Ozkaymak could retrieve and print a
copy of the Policy from the Travelers' website.
Travelers' LR 56.1(a)(3) Stmt. ¶¶ 18, 24,
2011, there was a fire at one of Guzeldere's other
properties. Id. ¶ 21. After the fire, Guzeldere
asked Ozkaymak to handle the claim with Travelers. Pl.'s
LR 56.1(b)(3)(B) Stmt. (Travelers) ¶ 22; Travelers'
Ex. 1, Guzeldere Dep. at 28:17-23.
to Plaintiffs, on June 30, 2011, the Payless Property was
damaged by a hailstorm. Travelers' LR 56.1(a)(3) Stmt.
¶ 4. Guzeldere states that he became aware of the damage
that day. Id. ¶ 26. Plaintiffs notified