McClellan v. Brown

George Rose Smith, Justice.

For a year or two the plaintiff Brown, engaged in a construction business, obtained his various types of insurance through the defendant McClellan’s insurance agency. On April 21, 1978, Brown paid McClellan $1,856 for workers’ compensation coverage on Brown’s employees, but McClellan failed to obtain the necessary policies, though he represented to Brown that he had done so. As a result of the omission Brown was compelled to pay $ 17,120 to an inj ured employee, plus legal fees and costs.

Brown, in asserting this claim for actual and punitive damages, alleged that…