Callahan & Blaine Wins $10 Million Settlement on Behalf of a Defendant HOA

Stoughton v. Spyglass Homeowners Assoc. and Scottsdale v. Spyglass HOA These related cases constituted a complex litigation arising out of a 1993 landslide in the Spyglass development of Whittier, California. Eight homeowners sued Spyglass HOA for damages to their homes from the landslide. Callahan & Blaine's representation of Spyglass included defense of Spyglass against the homeowners, defense of Spyglass in a declaratory relief action brought by Spyglass' insurers, an affirmative bad faith and breach of contract action by Spyglass against its insurers, cross-complaints by Spyglass against over 10 cross-defendants who it alleged were responsible for the landslide and an affirmative action against Spyglass' insurance- appointed defense attorneys for legal malpractice and breach of fiduciary duty. The matter was settled with Spyglass receiving over $4.3 million from the cross-defendants, its former counsel, and its own insurers. In addition, Spyglass' insurers paid $2.9 in damages to the homeowner plaintiffs with no right to contribution or reimbursement from Spyglass.

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