LOS ANGELES – An insurance company has filed suit against two transportation companies after its subrogee's cargo was allegedly damaged in transport.
Zurich American Insurance Co. filed a complaint on Aug. 16 in the U.S. District Court for the Central District of California against
ZP Transport Inc. and Prestige Direct Inc.
alleging that they breached agreement under Carmack Liability.
According to the complaint, the plaintiff alleges that on May 20, 2015, its subrogee Federal Mogul Corp. arranged for Absolute Logistics and ZP Transport Inc. to deliver automotive machinery from Ohio to Long Beach. The suit states that ZP then sub-hauled the cargo to Prestige without informing Absolute Logistics of the delegated job and that the truck carrying the cargo was in an accident that rendered the cargo a total loss, as a result plaintiff was obligated to indemnify Federal Mogul of its insurance policy in the amount of $241,593.04.
The plaintiff holds ZP Transport Inc. and Prestige Direct Inc. responsible because allegedly failed to deliver the cargo and agreed under contract to carry and deliver said cargo in the same good condition as when received.
The plaintiff requests a trial by jury and seeks judgment in its favor, decree payment in the amount of $291,593.04 together with prejudgment interest, costs of suit and other relief it may be entitled to receive. It is represented by Joshua A. Southwick of Gibson Robb & Lindh LLP in San Francisco.
U.S. District Court for the Central District of California Case number 2:16-cv-06126