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American Cancer Society files suit against insurers over inclement ...

Rain soaked the September 2012 Cattle Baron's Ball at Southfork Ranch in Parker. (Jonathan Zizzo/Special Contributor)

The American Cancer Society has filed a lawsuit against insurance brokerages, which the plaintiffs claim did not properly inform them of an inclement weather policy for the annual Cattle Baron?s Ball held at Southfork Ranch last September.

According to the lawsuit filed in Dallas County earlier this month, ?the American Cancer Society High Plains Division event planning committee negotiated a $300,000 insurance policy with?Ragland Strother & Lafitte, of Dallas, and Swett & Crawford, of Suwanee, Ga for the annual fundraiser. The high-profile event has raised about $50 million for cancer research since 1974.

The event planning committee negotiated with the insurers who drafted a policy that would pay $300,000 if it rained an inch or more ?at the site of the event,? during the ball, the lawsuit says.

According to the National Weather Service, 1.62 inches of rain swamped Parker. The American Cancer Society claims it lost hundreds of thousands of dollars when the event planners had to cancel some entertainment, provide cover and set up tents.

The event planners then contacted the insurers three days after the rain-soaked event to make the claim. The insurers denied the claim, saying the organization could only collect on the policy based on the rainfall at the closest weather station, Collin County Regional Airport at McKinney, a dozen miles from Southfork, according to the lawsuit.

According to the lawsuit, the insurers wrote back to the event organizers and said only .43 inches of rain were recorded at the airport during the insured hours, so ?it does not appear that a claim has been triggered,? Ragland and Swett wrote in an email.

The American Cancer Society says the insurers misrepresented the policy and neglected to tell event planners of the ?claim verification? piece of the inclement weather policy.

In the suit, the organization demands a jury trial, compensation for three times the amount of actual damages suffered by the Cattle Baron?s Ball and American Cancer Society, court and attorney?s fees.

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Source: http://thescoopblog.dallasnews.com/2013/05/american-cancer-society-files-suit-against-insurers-over-inclement-weather-policy-covering-2012-charity-event.html/

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