West Virginia Record

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R.T. Rogers Oil seeks total payment for cleanup costs at site

By Molly English-Bowers | Dec 27, 2015

Contract breach

HINTON – A West Virginia corporation is suing over the alleged refusal of an insurance company to fully pay for cleanup costs at the site of a removed underground storage tank.

R.T. Rogers Oil Co. Inc. filed the suit Dec. 14 in Summers Circuit Court against Zurich American Insurance Co., citing breach of contract.

According to the complaint, the plaintiff and defendant were parties to an insurance contract with a coverage period of April 1, 2003, to April 1, 2004. The policy was described as a storage tank system third party liability cleanup policy.

On June 18, 2003, the plaintiff removed an underground storage tank located at Courthouse Service Station, 100 Walker St., Princeton, the complaint states. After the tank was removed, the West Virginia Department of Environment Protection determined that motor fuel had leaked from a storage tank at that site.

The plaintiff informed the defendant that additional cleanup work would be required at the site, but on Jan. 30, 2006, the defendant allegedly notified the plaintiff that it would not fully cover the claim, instead covering 42 percent of the costs.

As of Oct. 15, the plaintiff says the cleanup costs was actually $217,695 and that the defendant has not paid any amount toward that cost. R.T. Rogers Oil Co. seeks that amount from the defendant in a judgment from the court. The plaintiff also seeks prejudgment interest, attorney fees and court costs. A jury trial is demanded as well.

The plaintiff is represented by James R. Sheatsley of Gorman, Sheatsley & Co. of Beckley. Circuit Judge Robert A. Irons has been assigned the case.

Summers Circuit Court Case number 15-C-52

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Organizations in this Story

R.T. Rogers Oil Co. IncZurich American Insurance CoGorman, Sheatsley & Co.