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Gagnon v. Allstate Insurance Co.
Maine Supreme Court
635 A.2d 1312 (1994)
The Gagnons’ (plaintiffs) washing machine ruptured during their absence and released hot water and steam that caused extensive damages to their home’s interior. Allstate Insurance Co. (defendant), the Gagnons’ insurer, denied their claim, so they sued Allstate. The Gagnons’ policy covered direct losses from an explosion but excluded coverage for water damage. The trial court entered judgment for Allstate after finding that the Gagnons failed to prove that any of their damages were directly caused by the explosion as opposed to the subsequent hot steam and water flow. The Gagnons appealed, and the appellate court found that the trial court erred in applying the policy’s water-damage exclusion and remanded the case to the trial court to determine damages. Allstate appealed the appellate court’s remand order.
Rule of Law
Holding and Reasoning (Clifford, J.)
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