G.M. Abodeely Insurance Agency, Inc. v. Commerce Insurance

On November 10, 1989, the defendant, Commerce Insurance Company (Commerce), wrote to the plaintiff, G.M. Abodeely Insurance Agency, Inc. (Abodeely), advising it that its agency contract was cancelled, effective May 31, 1990.1 The reason given for the cancellation was the *275“failure to report coverages bound in accordance with the agency agreement, and acceptance of business which does not conform to our underwriting criteria.” Claiming that the stated basis for the cancellation was a pretext and that the true reason was Commerce’s desire to eliminate Abodeely as a competitor of its wholly-owned…