Settlement or Verdict Amount:
Defendant and Claimant - $1,317,683
Insurance Benefits - $1,004,364

Case Name:
LLOYDS OF LONDON v. JARREAU

Case Number:
U.S.D.C. 1985

Plaintiffs:
Lloyds of London - Alan G. Buckner and Simon, Buckner, Marina
Del Rey

Defendants:
Al Jarreau - Harris I. Steinberg, San Diego

Facts and Background:
In May, 1983, the Plaintiff Insurance Company issued a
"nonappearance" policy to the Defendant, a popular jazz singer. The
policy was to cover Defendant’s concert tour during 1983. Jarreau
missed several concerts in September, 1983 due to an attack of
tonsillitis. He filed a $1,000,000 claim with the Plaintiff, but
payment of the claim was refused.

Plaintiff’s Contentions:
Plaintiff claimed the policy should be rescinded due to Defendant’s
failure to disclose his history of past treatment which included
five episodes of laryngitis and other respiratory infections.
Also, Defendant missed less than ten concerts and the claim could be
worth no more than $200,000 after deducting anticipated expenses.

Defendant’s Contentions:
Defendant argued the non-disclosed ailments were not a "big deal"
since "he still sings beautifully." The claim was worth at least
$1,000,000. Plaintiff was happy to take the premium as long as
they did not have to pay any claims.

Damages:
Jarreau - $1,000,000 claim from missed concerts unpaid.