Car Dealership Responsible For Unfair Termination Case, Not Its Insurer

 Tuesday, August 13, 2019

 Risk & Insurance

After a car dealership employee was fired, the dealership and its employment practice liability insurer argued in court who would be responsible for the wrongful termination claim.

Stadium Motorcars, LLC and Central Houston Motorcars, LLC (Stadium and Central) own and operate car dealerships out of Houston. They hired Chris Singleton to manage a collision center in 2016.

In this role, Singleton allegedly discovered that Stadium and Central were fraudulently billing auto insurers. He promptly reported this to his supervisor.

He was promptly fired.

Singleton contended he was fired in retaliation to the claims he made. He sued the two entities for breach of contract and wrongful termination.