Case: 3:13-cv SA Doc #: 47 Filed: 11/03/14 1 of 7 PageID #: 220 UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF MISSISSIPPI OXFORD DIVISION

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1 Case: 3:13-cv SA Doc #: 47 Filed: 11/03/14 1 of 7 PageID #: 220 UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF MISSISSIPPI OXFORD DIVISION JOHNNYE H. PASS and FAITH PASS-BASS PLAINTIFFS v. CASE NO. 3:13-CV SA-SAA GOVERNMENT EMPLOYEES INSURANCE COMPANY DEFENDANT PRETRIAL ORDER 1. A pretrial conference was held on June 30, 2014 at 10:00 a.m. at the United States Courthouse in Oxford, Mississippi before United States Magistrate Judge S. Allan Alexander. 2. The following counsel appeared: Postal and Name Addresses Telephone No. a. For the Plaintiff: Shirley C. Byers P.O. Box Holly Springs, MS scbjudge@gmail.com b. For the Defendant: Melanie M. Stewart 8275 Tournament Drive, Suite Memphis, TN mstewart@stewartlg.com 3. The pleadings are amended to conform to this pretrial order. 4. The following claims (including claims stated in the complaint, counterclaims, cross claims, third-party claims, etc.) have been filed: o Breach of Contract; o Bad Faith; o Fraud; o Breach of Duty of Good Faith and Fair Dealing; and o All Claims Stated in the Complaint. 1

2 Case: 3:13-cv SA Doc #: 47 Filed: 11/03/14 2 of 7 PageID #: 221 The Plaintiffs filed a complaint based on bad faith wherein the Defendant refused to pay a valid claim filed by the Plaintiff on a valid contract for insurance. The basis of the denial of the claim was false and therefore, the claim should have been paid by the Defendant. Consequently, the Plaintiffs suffered compensatory damages and as a result of the Defendant's refusal to pay a valid claim it is subject to punitive damages. 5. The basis for this court s jurisdiction is: Removal by defendants under 28 USC There are no jurisdictional questions. 7. There are no pending motions. 8. The parties offer the following concise summaries of the ultimate facts as claimed by: a. Plaintiff: On or about September 1, 2009, the Plaintiff Johnnye H. Pass purchased a motor vehicle policy of insurance, policy number , underwritten by the Defendant. The Plaintiffs purchased liability, collision and uninsured motorist automobile insurance from GEICO Insurance Company online via the internet for their 2008 Suzuki XL7, which was accepted online to insure the subject motor vehicle. The Plaintiffs continuously made timely payments on the subject premium via bank draft from an account held by plaintiff Faith Pass-Bass at Regions Bank located in Memphis, Tennessee. At all times the Plaintiffs believed that they were covered by the Defendant. That on or about September 8, 2009, the subject vehicle was involved in an automobile accident, which caused damage to other vehicles. The Plaintiff, Faith Pass-Bass, who was driving, was cited for the motor vehicle accident. The Plaintiff, Pass-Bass, filed a claim with GEICO. However, the claim was denied on the basis that the policy had lapsed due to nonpayment. The Defendant reported to Pass-Bass that a payment had been returned for insufficient funds on two separate occasions. Pass-Bass contacted her bank and learned that no demand for payment had been made by the Defendant and that funds were in the bank during the relevant time period to pay the premium. Pass-Bass relayed the aforesaid information to the Defendant. However, the Defendant still refused to pay and/or honor the claim for her vehicle and the other two vehicles, as well as for any personal injuries. Subsequently, the Plaintiffs were sued and received judgments against them in the Circuit Court of Marshall County, Mississippi. Further, the Plaintiffs lost the use of the subject vehicle, which was being financed, as it was totaled out and her motor vehicle licenses were suspended by the State Department of Public Safety. The Defendant is liable for the said judgments against the Plaintiffs, the payoff on an operable vehicle, and for their failure to honor the contract of insurance. The Plaintiffs are requesting punitive damages as a result of the Defendant s failure and/or refusal to pay the subject claim. 2

3 Case: 3:13-cv SA Doc #: 47 Filed: 11/03/14 3 of 7 PageID #: 222 b. Defendant: On August 31, 2009, the Plaintiff, Johnnye H. Pass, made an online application for insurance with the Defendant, Government Employees Insurance Company (hereinafter referred to as GEICO), and requested that payment for the insurance premium be made by Electronic Funds Transfer from an account at Regions Bank. On September 3, 2009, GEICO was advised by Regions Bank that payment was declined for non-sufficient funds. On September 9, 2009, GEICO resubmitted the payment, which was again declined by Regions Bank on September 16, No premium has ever been paid by the Plaintiffs to GEICO for insurance coverage. Because no premium was ever paid, the policy of insurance was not in force on the date of the accident the Plaintiff, Faith Pass-Bass was involved in on September 8, 2009, and the policy of insurance was null and void. 9. a. The following facts are established by the pleadings, by stipulation, or by admission: 1. The Plaintiffs are adult resident citizens of Holly Springs, Marshall County, Mississippi. 2. The subject incident occurred in Marshall County, Mississippi. 3. The Plaintiff, Johnnye H. Pass, took out an online application for insurance with the Defendant, GEICO, over the internet on August 31, The policy of insurance was for coverage on a 2008 Suzuki XL7. 5. The Plaintiff, Faith Pass-Bass, was involved in an automobile accident on September 8, 2009 in Marshall County, Mississippi. b. The contested issues of fact are as follows: 1. Whether the Defendant presented the Plaintiffs payment of insurance to the subject bank. 2. Whether the Plaintiffs sustained damages as a result of the Defendant's bad faith failure to pay the Plaintiffs' claim. 3. Whether the subject bank did not return to the Defendant the Plaintiffs' payment of insurance for insufficient funds. 4. Whether the subject bank attempted to deduct the subject payment from the Plaintiffs' account. 5. Whether the policy of insurance was ever in effect when no premium payment was received by GEICO. 6. Whether GEICO ever received payment of the premium from the Plaintiffs. 7. Whether GEICO acted in bad faith for declaring the policy of insurance null and void when no premium payment was received. 3

4 Case: 3:13-cv SA Doc #: 47 Filed: 11/03/14 4 of 7 PageID #: 223 c. There are no contested issues of law. 10. The following is a list and brief description of all exhibits (except exhibits to be used for impeachment purposes only) to be offered in evidence by the parties. Each exhibit has been marked for identification and examined by counsel. The authenticity and admissibility in evidence of all exhibits are stipulated. If the authenticity or admissibility of any exhibit is objected to, the exhibit must be identified below, together with a statement of the specified evidentiary grounds for the objections: a. To be offered by the Plaintiff: P-1 Policy of Insurance No P-4 State of Mississippi Uniform Crash Report, 9/8/2009 P-5 Confirmation Letter from GEICO to Johnnye Pass, 9/01/2009 P-8 Letter from GEICO to Johnnye Pass, 9/02/2009 P-9 Letter from GEICO to Johnnye Pass, 9/08/2009 P-10 Letter from GEICO to Johnnye Pass, 9/10/2009 P-11 Letter from GEICO to Johnnye Pass, 9/18/2009 P-12 Letter from GEICO to Johnnye Pass, 9/21/2009 P-13 Letter to GEICO from Johnnye Pass, 9/23/2009 P-14 Letter from Regions Bank, 9/24/2009 P-18 Letter to GEICO from Byers Law Firm, 10/29/2009 P-22 Complaint, Progressive Gulf Insurance v. Faith Pass, Case No. CV , In the Circuit Court of Marshall County, Mississippi, 9/30/2011 P-23 Docket of Entry of Default Judgment, Progressive Gulf Insurance v. Faith Pass Case No. CV , In the Circuit Court of Marshall County, Mississippi, 12/8/2011 P-24 Default Judgment, Progressive Gulf Insurance v. Faith Pass, Case No. CV , In the Circuit Court of Marshall County, Mississippi, 1/18/2012 4

5 Case: 3:13-cv SA Doc #: 47 Filed: 11/03/14 5 of 7 PageID #: 224 P-29 Regions Bank Records obtained via Defendant's Subpoena Plaintiff reserves the right to use any exhibits offered by the Defendant. b. To be offered by the Defendant: D-1 (Same as P-12) Letter from GEICO to Johnnye Harris Pass advising that the required payment with the insurance application has been returned by your bank and the policy is null and void. D-2 List of cancellation, expiration or non-renewal notices mailed. D-3 Letter from GEICO to Faith Pass dated 9/22/09 reserving rights. D-4 Letter from GEICO to Faith Pass dated 10/21/09 denying coverage as no policy in effect on the date of loss. D-5 Online policy application. D-6 Policy log entries from August 31, 2009 to September 30, D-7 (Same as P-1) Insurance policy. D-8 (Same as P-29) Documents received pursuant to subpoena from Regions Bank. 11. If any charts, graphs, models, schematic diagrams, and similar objects will be used in opening statements or closing arguments, but will not be offered in evidence, such objects must be submitted to opposing counsel at least three business days before trial. If there is then any objection to use of the objects, the dispute will be submitted to the court at least one business day before trial. 12. The following is a list of witnesses the parties anticipate calling LIVE at trial (excluding witnesses to be used solely for rebuttal or impeachment). All listed witnesses must be present to testify when called by a party unless specific arrangements have been made with the trial judge before commencement of trial. The listing of a WILL CALL witness constitutes a professional representation, upon which opposing counsel may rely, that the witness will be present at trial, absent reasonable written notice to counsel to the contrary. Will/ [F]act/[E]xpert Name May Call [L]iability/[D]amages City and State a. By the plaintiff: Faith Bass-Pass Will Fact/Damages Holly Springs, MS 5

6 Case: 3:13-cv SA Doc #: 47 Filed: 11/03/14 6 of 7 PageID #: 225 Johnnye Pass May Fact/Damages Holly Springs, MS Vasan Serce May Fact/Damages Memphis, TN The plaintiffs reserve the right to call any witnesses to testify to the authenticity of any exhibits used by the Plaintiffs and any witnesses subpoenaed by the Defendant. b. By the defendant: Mandy Long Centralized Financial Services Lead GEICO Will Fact/Liability Macon, GA Debra Booker May Fact/Liability Macon, GA Johnnye H. Pass May Fact/Liability Holly Springs, MS Regions Bank Rep. May Fact/Liability Memphis, TN 13. This is a jury case. 14. Counsel suggests the following additional matters to aid in the disposition of this civil action: None. 15. Counsel estimates the length of the trial will be 2 days. 16. As stated in paragraph 1, this pretrial order has been formulated (a) at a pretrial conference before a judicial officer, notice of which was duly served on all parties, and at which the parties attended as stated above, or (b) the final pretrial conference having been dispensed with by the judicial officer, as a result of conferences between the parties. Reasonable opportunity has been afforded for corrections or additions prior to signing. This order will control the course of the trial, as provided by Rule 16, Federal Rules of Civil Procedure, and it may not be amended except by consent of the parties and the court, or by order of the court to prevent manifest injustice. ORDERED, this the 3rd day of November, _/s/ Sharion Aycock UNITED STATES DISTRICT JUDGE

7 Case: 3:13-cv SA Doc #: 47 Filed: 11/03/14 7 of 7 PageID #: 226 /s/ Shirley C. Byers Attorney for Plaintiff /s/ Melanie M. Stewart Attorney for Defendant Entry of the preceding Pretrial Order is recommended by me on this, the 17 th day of July s/ S. Allan Alexander UNITED STATES MAGISTRATE JUDGE 7