Earthmovers of Fairbanks, Inc. v. Pacific Insurance Co.

OPINION

BURKE, Justice.

The basic issue raised by this appeal is whether the plaintiff below, Earthmovers of Fairbanks, Inc., was entitled to a 22% profit and overhead markup from Pacific Insurance Company, on parts which Earthmovers, Inc., had purchased to repair a damaged crane. The appeal was brought by Earthmovers, Inc., after entry of a judgment in favor of Pacific.

The crane was insured against damage by Pacific, under an insurance policy issued to H & S Earthmovers, a joint venture.1 The joint venture and Earthmovers, Inc., are separate entities. After the crane was damaged by a truck…