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NORTHERN CALIFORNIA RECORD

Monday, November 4, 2024

Apex Solutions sues Falls Lake Insurance Management Company for disputed insurance coverage

State Court
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Apex Solutions, Inc. has filed a lawsuit against Falls Lake Insurance Management Company, Inc. in the Court of Appeal of the State of California, First Appellate District, Division Four (Case ID: A167491). The case was filed on March 28, 2024 and pertains to an insurance coverage dispute over property and business income losses sustained by Apex due to a burglary at its cannabis facility in Oakland in June 2020.

Apex operates a cannabis business and claimed a loss of over $2.5 million following the burglary where unknown individuals emptied two vaults containing cannabis inventory. This led to litigation when both parties couldn't agree on the amount of loss covered under Falls Lake’s policy. The lawyers involved in this case are not specified in the document.

The main issue is whether Apex’s insurance claim for stolen inventory is subject to a single per occurrence limit of $600,000 as argued by Falls Lake or two per occurrence limits totaling $1.2 million as contended by Apex. Additionally, there's also a dispute over whether Falls Lake owes around $154,000 in additional payments and reimbursements on Apex’s business interruption claim.

Apex seeks judgment that its property insurance claim for stolen inventory is subject to two per occurrence limits totaling $1.2 million and also seeks additional payments and reimbursements on its business interruption claim amounting to approximately $154,000.

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