American Universal Insurance v. Scherfe Insurance Agency

RILEY, District Judge.

In this proceeding, commenced here by reason of diversity of citizenship of the parties, four insurers combine their actions against defendant Scherfe Insurance Agency, a corporation, and its president, Paul C. Baughman, for damages related to plaintiffs’ insurance coverage on the property of Nabeeha Rashid, Fort Madison, Iowa.

The insured property was wholly destroyed by fire November 25, 1950. Plaintiffs made payment of losses under their several policies and subsequently commenced this action, .claiming damages for the amount of the losses paid because of false and…