Experts Agree that Epson Printer was Not Cause of Mysterious Fire Loss

October 1, 2002

In a subrogation action arising out of a mysterious fire loss, Epson America, the manufacturer of electronic office equipment was sued by USAA for recovery of approximately $55,000 that USAA had paid to its insured on its claim.

After exchange of initial discovery, the parties agreed to permit each of their electrical engineering experts to inspect the equipment on the loss premises, in particular the printer made by Epson, to determine if physical evidence existed to suggest it was the source of an electrical fire. It was agreed that if such evidence existed, Epson would pay the damages claimed by USAA. However, if the printer box demonstrated no signs of fire origin, it was agreed that USAA would dismiss its suit in exchange for a waiver of costs and attorneys fees, with no further discovery.

After some negotiations regarding the inspection protocol, the inspection took place. The printer box was virtually pristine - meaning that Epson won the gamble and the case.

Epson America was represented by Guy R. Gruppie and Paul R. Flaherty of the firm's Los Angeles office. Mr. Flaherty developed the testing protocol and worked closely with Epson's expert to help obtain this excellent result.