Rock Harbor sues insurer seeking May 2010 flood payments

The latest round of lawsuits related to the city's May 2010 flooding has been joined by one of the city's better-known water-based business.

Rock Harbor Marine has sued the Travelers Insurance and a number of its subsidiaries as well as independent agency Anchor Insurance, accusing them of various breach-of-contract-related wrongs in not paying nearly $5 million to Rock Harbor. That money would have covered replacement costs for commercial property destroyed and the income loss resulting from the floods of 2010.

Depending on variances enumerated in state laws pertaining to legal pursuits such as this, there’s a potential two-year statute of limitations that is causing many local company leaders to hurry and file claims now. Rock Harbor's complaint [2] was filed April 27 by its corporate parent, AFC South Inc., and details the sequence of events leading to the loss of docks and piers and other property for which the insurance companies named have yet to pay.

The commercial insurance policies purchased by Rock Harbor covered its docks and piers. Replacement cost was set at nearly $4.4 million with a business income loss limit of $300,000. Rock Harbor has tried to collect from Travelers but to date has only received “partial and incomplete payment for the covered losses,” the complaint reads.

Rock Harbor is located at 525 Basswood Drive in West Nashville and is being represented by Aubrey Harwell Jr. and Ronald Harris of the Neal & Harwell law firm in Nashville.

“The parties are still discussing the matter as valuation issues still exist and need to be worked out first,” Harris said.

Harris wouldn’t provide more detail on what’s being discussed at this point but reiterated that the parties are talking and that the success of these negotiations depends on property valuation consensus. 

Rock Harbor is asking the court for punitive damages to be determined at trial, including an additional 25 percent penalty applied to the loss amount as determined, prejudgment interest at the highest lawful rate and attorneys fees including any other relief the court will grant.

Travelers’ officials could not be reached immediately Wednesday.