Company drops lawsuit against city

The Cincinnati Insurance Company, a subsidiary of the Cincinnati Financial Corporation, has dropped its legal challenge against the city of Fairfield for alleged improper maintenance of its water supply system.

The company had been seeking $1.8 million.

CIC is the insurance provider for Dean and Jeff Anderson, residents and owners of JDA Properties and Anderson Tooling Inc., which is owned by Dean and Carol Anderson. The Anderson entities sustained substantial damage to their property due to an alleged failure in the Fairfield water supply system.

In April 2009, water seepage from a fractured water main under the building caused damage to the building?s concrete floor and caused the property?s soil to sink in April and May 2009.

CIC immediately paid Anderson for the damage to his property, but as customary in the insurance industry, CIC investigated the root cause of the damage incurred in order to recover the insurance payout from the liable source of the incident.

Following an investigation, CIC concluded the city of Fairfield was responsible for the damages and filed a lawsuit. Neither the owners of JDA Properties nor Anderson Tooling were parties to the lawsuit nor did they provide a recommendation for the initiation of a lawsuit against the city.

After further analysis, CIC has determined continued pursuit of litigation against Fairfield would cause great disruption to the community as a whole. Guarding the best interests of the residents of Fairfield, CIC has decided to forego further litigation against Fairfield.