Western Medical Park Owners v. United States Liability Insurance Group, 5:14-cv-01266

Plaintiff Western Medical Park Owners insured by USLI for hail-damage loss; Plaintiff filed suit after dispute over damages.
Claims against all defendants other than USLI were dismissed; USLI moved to dismiss the remaining case.
USLI challenges claims under Oklahoma Unfair Claims Settlement Practices Act (private right of action conceded and dismissed).
USLI argues OCPA claim is exempt because USLI is regulated by the Department of Insurance.
USLI argues fiduciary-duty, negligent underwriting, constructive fraud/negligent misrepresentation claims fail under Oklahoma law; breach of contract and bad faith claims remain viable.
Court grants in part and denies in part the motion to dismiss, allowing breach of contract and bad faith claims to proceed while dismissing other statutory claims as to the insurer.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether OK private action under the UCPA exists	Plaintiff contends no private right of action.	USLI argues no private cause of action under UCPA.	Private right of action not recognized; granted.
Whether OCPA exemption applies to USLI	Plaintiff disputes exemption scope beyond Department of Insurance regulation.	Exemption applies to insurance sales and adjustment activities.	OCPA exemption applies; granted.
Whether a fiduciary duty exists between insured and insurer	Cosper broadly support fiduciary claim.	No fiduciary duty in insured-insurer context.	No fiduciary duty recognized; granted.
Whether negligent underwriting claim is viable	Insurer had duty to validate replacement-cost needs.	No such duty; policy may exceed replacement cost.	Not viable under Oklahoma law; granted.
Whether constructive fraud/negligent misrepresentation survive	Duty implied; misrepresentation claims viable.	No duty; claims fail as a matter of law.	Same theory as negligent underwriting; fails; dismissed.

Cosper v. Farmers Insurance Co., 309 P.3d 147 (2013 OK CIV APP 78) (insurer-insured fiduciary duty not recognized in this context)
Mueggenborg v. Ellis, 55 P.3d 452 (2002 OK CIV APP 88) (insurers have no duty to advise insured on needs)
Rotan v. Farmers Ins. Grp. of Cos., Inc., 83 P.3d 894 (2004 OK CIV APP 11) (insurer duty limitations on underwriting claims)
Silver v. Slusher, 770 P.2d 878 (1988 OK 53) (arm's length insured-insurer relationship; no special fiduciary duty)
Swickey v. Silvey Cos., 979 P.2d 266 (1999 OK CIV APP 48) (recognizes lack of special fiduciary relationship)