Har-Mar Collisions, Inc. v. Scottsdale Insurance Company Scottsdale Insurance Company v. Har-Mar Collisions, Inc.

Summary

The court upheld reformation of the insurance policy because clear and convincing evidence showed that both parties intended to insure Har-Mar Collisions' auto shop, despite the policy's reference to a nonexistent corporation. It held that Scottsdale was not entitled to offset the verdict with settlements from insurers that undertook separate obligations, and it remanded for reinstatement of the jury's damages award and reconsideration of costs. The court affirmed the denial of prejudgment interest because Har-Mar did not show that its damages were reasonably certain when the breach occurred. Justice Murdock, dissenting in part and concurring in the result in part, would have upheld the setoff because the record did not establish that the verdict excluded losses covered by the Auto-Owners settlement.