Civil Remedy Notice of Insurer Violations
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Filing Number:     815768
Filing Accepted:  4/11/2025
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Complainant
Last/Business Name *  
SOVRAN BUILDING SYSTEMS INC   First Name  
Street Address * 2815 REMINGTON GREEN CIRCLE, SUITE 200
City, State Zip * TALLAHASSEE, FL 32308
Email Address * BO.SUTTON@THOMPSONJAGLAL.COM
Complainant Type: * Third Party
Insured
Last/Business Name*   LEIVA SEASIDE COMPANY LLC   First Name  
Policy # * HCR004363 Claim #* N/A
Attorney
Attorney is Applicable
Last Name* SUTTON First Name * ROUSELLE Initial A
Street Address* 4767 NEW BROAD STREET
City, State Zip* ORLANDO , FL 32814
Email Address * BO.SUTTON@THOMPSONJAGLAL.COM
Violation
Insurer Type *   Authorized Insurer Unauthorized Insurer
 
Insurer Name*   HERITAGE PROPERTY & CASUALTY INSURANCE COMPANY
NAIC Company Code 14407
 
Name of individual responsible for violation (if any):* COMPANY-WIDE
Type of Insurance * Commercial Property & Casualty   
Reason for Notice *
Claim Denial
Claim Delay
Unfair Trade Practice
* Statutory provision(s) which the insurer allegedly violated.
 
624.155(1)(b)(1) Not attempting in good faith to settle claims when, under all the circumstances, it could and should have done so, had it acted fairly and honestly toward its insured and with due regard for her or his interests.
626.9541(1)(i)(3)(a) Failing to adopt and implement standards for the proper investigation of claims.
626.9541(1)(i)(3)(c) Failing to acknowledge and act promptly upon communications with respect to claims.
626.9541(1)(i)(3)(f) Failing to promptly provide a reasonable explanation in writing to the insured of the basis in the insurance policy, in relation to the facts or applicable law, for denial of a claim or for the offer of a compromise settlement.
* Specific policy language that is relevant to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

Policy language cannot be provided at this time because Heritage Property and Casualty Insurance Company has refused to provide copies of its policies and other insurance information pursuant to 627.4137 and/or 626.9372 Heritage Property and Casualty Insurance Company has refused to acknowledge a lawsuit made against its insured and its additional insured. Heritage Property and Casualty Insurance Company has refused to acknowledge a tender of claim against its insured made by its additional insured. Heritage Property and Casualty Insurance Company has refused to respond to a lawsuit made against its insured and its additional insured. Heritage Property and Casualty Insurance Company has refused to defend its insured against a pending lawsuit. Heritage Property and Casualty Insurance Company has refused to defend its additional insured against a pending lawsuit. Heritage Property and Casualty Insurance Company has refused to provide copies of insured insurance policies Pursuant to Florida Statutes §627.4137 and/or §626.9372. Heritage Property and Casualty Insurance Company is refusing to attend mediation scheduled for September 29, 2025, and to protect the interest of its insured and its additional insured.
 
* Facts and circumstances giving rise to the violation.
Enter all words or phrases (one at a time) that should be used to filter.

Leiva Seaside Company LLC performed work for Sovran Building Systems Inc to construct a home located at 7481 Shadow Lake Drive, Panama City Beach, FL 32407. Sovran Building Systems Inc self-performed no work. On December 4, 2023, homeowners filed suit against D.R. Horton, Inc for claims arising out of Leiva Seaside Company LLC’s work. On May 8, 2024, homeowners filed a first amended complaint against D.R. Horton, Inc for claims arising out of Leiva Seaside Company LLC’s work. On December 16, 2024, Sovran Building Systems Inc filed an Amended Third Party Complaint in the Circuit Court of the Fourteenth Judicial Circuit, In Bay County Florida under case No 2023-CA-001418 (Lawsuit). In the suit Sovran Building Systems Inc named Leiva Seaside Company LLC as a defendant and alleged Leiva Seaside Company LLC was liable claims for arising out of Leiva Seaside Company LLC’s work at the residence (7481 Shadow Lake Drive, Panama City Beach, FL 32407). On October 22, 2024, Sovran Building Systems Inc served Heritage Property and Casualty Insurance Company with a Notice of Construction Defect Claim under policy No. HCR004363, which was in effect from 3/23/23 – 3/23/24. In this notice Heritage Property and Casualty Insurance Company was requested to: Provide Sovran Building Systems Inc with indemnity, defense and additional insured rights, defend Leiva Seaside Company LLC, provide the letter to all affected insurers, participate in early settlement efforts, and provide the requested insurance information. This correspondence was sent to Heritage Property and Casualty Insurance Company because it insured Leiva Seaside Company LLC who worked on the Project (7481 Shadow Lake Drive, Panama City Beach, FL 32407), Leiva Seaside Company LLC’s contract required it to have Sovran Building Systems Inc named as an Additional Insured on all applicable policies. Leiva Seaside Company LLC’s March 13, 2024 Certificate of Insurance identifies Sovran Building Systems Inc as an Additional Insured on Heritage Property and Casualty Insurance Company Policy HCR004363 for 2023-03-23 to 2024-03-23. On April 1, 2025, Sovran Building Systems Inc again served Heritage Property and Casualty Insurance Company with a follow up Notice of Construction Defect Claim, renewing the same request made on October 22, 2024. This request like the previous, was completely ignored. Heritage Property and Casualty Insurance Company’s actions have willfully, wantonly, and maliciously placed their own interest above that of its insured Leiva Seaside Company LLC and of Sovran Building Systems Inc as an Additional Insured. Currently, litigation is still pending against both Leiva Seaside Company LLC and Sovran Building Systems Inc and Heritage Property and Casualty Insurance Company has failed to: respond to notices sent, provide requested copies of the insured coverage policy and failed to defend the insured as required by the policy. Heritage Property and Casualty Insurance Company and its adjuster are acting in bath faith. Consequently, a default was entered against Leiva Seaside Company LLC on November 21, 2024.
Comments
User Id Date Added Comment
ncarlisle@heritagepci.com 05-07-2025 May 7, 2024 VIA ELECTRONIC SUBMISSION Florida Department of Insurance Civil Remedy Section 200 East Gaines Street Tallahassee, Florida 32399 RE: Complainant: Sovran Building Systems Inc. Insured: Leiva Seaside Company LLC Policy Number: HCR004363 Claim Number: “N/A” Date of Loss: none provided Loss Location: 7481 Shadow Lake Dr., Panama City Beach. FL 32407 DFS Filing Number: 815768 Dear Sir or Madam: Please allow this correspondence to serve as Heritage Property & Casualty Insurance Company’s (“Heritage”) official response to the Civil Remedy Notice of Insurer Violation (“CRN”), Filing Number 815768, filed on behalf of Sovran Building Systems Inc. (“Complainant” or “Sovran”), and accepted by the Department on April 11, 2025. While Heritage welcomes the opportunity to respond to this Civil Remedy Notice of Insurer Violation and specifically denies each and every allegation contained therein, Heritage maintains that the Civil Remedy Notice should be rejected and returned by the Department of Financial Services because it fails to comply with the specific statutory requirements as set forth in Florida Statute §624.155 and Florida case law. Contrary to the requirement to “describe the facts and circumstances giving rise to the insurer’s violation as you understand them at this time,” the purpose of which is “to enable the insurer to investigate and resolve [the] claim,” the CRN itself contains unsupported and inaccurate allegations that do not enable Heritage to cure the alleged violations. In fact there is no mention in the notice of how Heritage may cure any alleged violation. On April 9, 2025, Heritage received a letter via U.S. Mail from Rousselle “Bo” Sutton (“Mr. Sutton”) dated April 1, 2025. Mr. Sutton advised that he had obtained a Default on behalf of his client, Sovran, against Heritage’s insured, Leiva Seaside Co. (Leiva). The letter also included a “Tender of Construction Defect Claim,” “Notice of and Demand for Participation in Mediation and Settlement Discussions,” web address for “Pertinent Documents,” and “Request for Insurance Information.” Like this Civil Remedy Notice, the Notice of Default did not contain a claim number. The letter was Heritage’s first notice of the lawsuit or the claim. Heritage immediately opened a claim and assigned it Claim Number H010041607. Mr. Sutton advised that the letter was the second “Tender of Construction Claim.” He provided the first notice, a letter dated October 22, 2024. That letter was identical to the April 1letter, except it said it was also sent by email correspondence. Heritage requested a copy of the email correspondence from Mr. Sutton, who responded that there were no emails. Heritage also requested that Mr. Sutton provide a copy of the 558 notice, signed contract between Sovran and Leiva, copy of certificate of insurance, the scope of work performed by Leiva, work proposals, or invoices related to the work. Mr. Sutton provided insurance certificates, the master subcontractor agreement, and subcontractor payment vouchers showing one payment to Leiva on August 30, 2019 for trim boards and siding for “Job: DRHD, Pool House, Interior Hardie (J6903).” There was no information provided about a claim against Leiva, no 558 notice, no scope of work performed by Leiva, nor any work proposal or invoice related to Leiva’s work. Under Florida Law, a Civil Remedy Notice requires the Complainant, "pursuant to section 624.155, F.S., to indicate all statutory provisions alleged to have been violated." The notice filed in this matter alleges Heritage violated the following statutory provisions: 1. 624.155(1)(b)(1): Not attempting in good faith to settle claims when, under all circumstances, it could and should have done so, had it acted fairly and honestly toward its insured and with due regard for his or her interests. Response: Heritage denies the allegation contained herein. Heritage did not have notice of any claim until two days before the civil remedy notice was filed. 2. 626.9541(1)(i)(3)(a): Failing to adopt and implement standards for the proper investigation of claims. Response: Heritage denies the allegation contained herein. Heritage did not have notice of any claim until two days before the civil remedy notice was filed. 3. 626.9541(1)(i)(3)(c): Failing to acknowledge and act promptly upon communications with respect to claims. Response: Heritage denies the allegation contained herein. Heritage did not have notice of any claim until two days before the civil remedy notice was filed. That day Heritage assigned a claim number and opened a claim. 4. 626.9541(1)(i)(3)(f): Failing to promptly provide a reasonable explanation in writing to the insured of the basis in the insurance policy, in relation to the facts or applicable law, for denial of a claim or for the offer of a compromise settlement. Response: Heritage denies the allegation contained herein. Heritage did not have notice of any claim until two days before the civil remedy notice was filed. In closing, Heritage believes that the CRN should be rejected and returned by the Department of Financial Services due to its failure to comply with Florida Statute §624.155 and Florida Case law. Regardless of the rejection, Heritage denies all allegations contained in the CRN and submits there are no violations. While this response is meant to be comprehensive, Heritage’s response above is based upon the limited information provided in the CRN and the information we have to date. If the Complainant believes that we are not in possession of all the facts, please inform us immediately. Please note that Heritage’s response is not necessarily exhaustive and does not preclude us from asserting any other valid reason for seeking rejection and return of the CRN. Also, this letter or any act or failure to act on the part of Heritage or any agent or representative of Heritage should not be construed as a waiver of any rights or defenses available to it by contract or at law as all such rights and defenses are hereby specifically reserved. We trust that this response addresses the allegations of insurer violation alleged in the Civil Remedy Notice of Insurer Violation. Should you have any question regarding this matter or need anything further, please do not hesitate to contact me. Sincerely, /s/ Lisa Bernardini Lisa Bernardini, Esq. Fla. Bar No. 813052
Acknowledgement
* The submitter hereby states that this notice is given in order to perfect the rights of the person(s) damaged to pursue civil remedies authorized by Section 624.155, Florida Statutes.

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DFS-10-363
Rev. 10/14/2008