Sphere Drake Insurance v. Bank of Wilson

Robert H. Dudley, Justice.

The primary issue in this case involves a sanction imposed against the appellant insurance company for failing to obey an order compelling discovery.

Edward and Rachael Carr borrowed money from the appellee Bank of Wilson. The bank contends the Carrs secured the debt with a real estate mortgage on a building in Joiner, but this fact is disputed by the appellant insurance company. The Carrs sold the building to the Conways and, as security for the purchase price, the Conways gave back to the Carrs a deed of trust on the building. The Conways insured the building with…