Blakely v. USAA Casualty Insurance

TACHA, Circuit Judge.

Plaintiffs-appellants Alan and Colelyn Blakely appeal the district court’s entry of judgment in favor of defendant-appellee USAA Casualty Insurance Company (“USAA”) on the Blakelys’ claims for breach of contract, breach of the implied covenant of good faith and fair dealing, and intentional infliction of emotional distress. We have jurisdiction pursuant to 28 U.S.C. § 1291. We AFFIRM in part and REVERSE in part.

I. BACKGROUND

In August 2002, a fire damaged the Blakelys’ home in Bountiful, Utah. The fire was caused by Stone Touch, a contractor who the Blakelys had hired to…