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Council Tower Association v. Axis Specialty Insurance Company; Jim Vavak

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Submitted: September 21, 2010

Before WOLLMAN, LOKEN, and HANSEN, Circuit Judges.

Council Tower Association (“Council Tower”) commenced this action in Missouri state court against Axis Specialty Insurance Company (“Axis”), a Connecticut insurer, and Jim Vavak, an independent claims adjuster and Missouri resident. Council Tower asserts insurance coverage and related claims for losses incurred when a portion of the brick veneer covering the east wall of Council Tower’s apartment building in St. Louis fell to the ground. Axis removed the case, and Council Tower moved to remand. See 28 U.S.C. § 1447(c). The district court*fn1 denied the motion to remand and dismissed Council Tower’s claims against Vavak, concluding that those claims were without merit and had been fraudulently joined to destroy diversity jurisdiction. Ruling on cross motions for summary judgment by Axis and Council Tower, the court granted summary judgment for Axis, concluding that Council Tower’s loss was not covered under the all-risk policy’s additional coverage for losses resulting from “collapse of a building or any part of a building.” Council Tower appeals both rulings. We affirm.

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