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Abbey/Land LLC v. Interstate Mechanical, Inc.

Abbey/Land LLC v. Interstate Mechanical, Inc., 2015 MT 77 (March 10, 2015) (McGrath, C.J.) (5-0, rev’d) 

Issue: Whether the lower court properly entered final judgment based on a $12 million confession of judgment without first allowing insurer James River to intervene and question the reasonableness of the settlement.

Short Answer: No.

Reversed & remanded

Facts: Donald Abbey formed Abbey/Land LLC to buy Shelter Island in Flathead Lake in 2001. After several contractual disputes, Abbey formed Glacier Construction Partners LLC to handle construction of the house. Abbey is the sole member of each LLC.

Interstate has been involved in several disputes with Glacier and Abbey/Land since 2009, resulting in arbitration as well as the current action for damages. In 2011, Abbey/Land amended its complaint, dismissing sister entity Glacier as a plaintiff and naming it as a defendant.…