KSLA News 12 Shreveport, Louisiana |Appeals court upholds dismissal of Katrina suit
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Associated Press - October 10, 2009 5:04 AM ET
NEW ORLEANS (AP) - A federal appeals court upholds the dismissal of a Mississippi homeowner's lawsuit against his insurer over a Hurricane Katrina settlement offer.
After the 2005 storm reduced his Biloxi home to a slab, Christopher Wiley signed a settlement with State Farm Fire and Casualty Co. in 2006 for $80,235. More than a year later, he rejected a second settlement offer for $26,798 and sued the company for an alleged contract breach.
Wiley said he learned after the 2006 settlement that some of the damage to his home was caused by wind - and not storm surge, which was not covered by his policy.
But the 5th U.S. Circuit Court of Appeals ruled Friday that Wiley's claims against State Farm were barred by the terms of his 2006 settlement.
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