Krim v. Commercial Union Assurance Co.

Plaintiffs’ motion picture theater was insured by defendant against fire losses under a Michigan standard policy, MCL 500.2832; MSA 24.12832. On January 13, 1977, a fire damaged plaintiffs’ building and contents and interrupted their business. Plaintiffs filed proofs of loss which were rejected by defendant as excessive. Negotiations between the parties resulted in settlement of one claim on October 5, 1977, and appraisal procedures provided for in the policy were conducted as to the other claims. The appraisal awards were entered on June 29, 1978. The settlement and appraisal awards were all…