Nevada Attorneys Prevail for Insurance Client in Contractor Payment Dispute
Las Vegas Partner Marisa Pocci Carney and Attorney Ryan O’Malley recently prevailed on behalf of our insurance client in Las Vegas, Nevada on an assignment-of-benefits dispute wherein a contractor sought “double payment” on a post-loss assignment.
In 2024, our client’s insured property owner signed an assignment with its hired contractor. After work commenced, the insured terminated the contractor for poor performance. At the insured’s request, our client stopped payment on an uncashed joint draft, and instead paid the insured directly so the insured could hire a new contractor. Because the assignment at issue was never formally rescinded, the contractor argued that the assignment remained effective under Nevada law. Subsequently, the contractor filed suit against our insurance client.
Our defense attorneys argued that our client acted reasonably and in accordance with its insured’s directives. Our defense team also contended that this dispute is between the insured and the contractor, and emphasized the inequity of requiring our insurance carrier client to pay twice for the same loss. Further, our defense attorneys argued that even if the assignment remained effective, the assignment itself could not increase coverage or make our client responsible for the contractor’s late fees and administrative add-ons.
In September 2025, the court agreed with our defense arguments and denied all of Plaintiff contractor’s claims, resulting in a full defense verdict for our client.
Marisa A. Pocci Carney and Ryan T. O’Malley represent insurers, corporations, and self-insured entities in a wide range of complex litigation matters.