Unigard Security Insurance v. Lakewood Engineering & Manufacturing Corp.

FERGUSON, Circuit Judge:

This cross-appeal concerns the aftermath of a fire that largely destroyed a moored boat. Unigard Security Insurance Company, the boat’s insurer, brought subrogation claims against Lakewood Engineering and Manufacturing Corporation, the manufacturer of an electric space heater that Unigard thought responsible for the fire. These claims were dismissed at summary judgment after the district court excluded Unigard’s evidence as a sanction for its having destroyed the heater and the remains of the boat before filing suit. The district court declined to impose monetary…