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Certain Underwriters at Lloyd's London v. Garmin Int'l, Inc.

United States Court of Appeals, Tenth Circuit

March 27, 2015

CERTAIN UNDERWRITERS AT LLOYD'S LONDON; GLOBAL AEROSPACE UNDERWRITING MANAGERS LIMITED; MITSUI SUMITOMO INSURANCE COMPANY (EUROPE) LTD; TOKIO MARINE EUROPE INSURANCE LIMITED; BERKSHIRE HATHAWAY INTERNATIONAL INSURANCE LIMITED; GREAT LAKES REINSURANCE (UK) PLC; WURTTEMBERGISCHE VERSICHERUNG AG; SWISS RE INTERNATIONAL S.E. UK BRANCH; ALLIANZ GLOBAL RISKS U.S. INSURANCE COMPANY; NATIONAL FIRE & MARINE INSURANCE COMPANY, Plaintiffs -- Appellees,
v.
GARMIN INTERNATIONAL, INC., Defendant, and HENRY P. BARTLE, Defendant -- Appellant

Appeal from the United States District Court For the District of Kansas. (D.C. No. 2:11-CV-02426 EFM).

Gregory L. Anderson of Dwyer, Daly, Brotzen & Bruno, LLP, Los Angeles, California (Christopher Carpenter and Tracy M. Hayes of Sanders Warren & Russell LLP, Overland Park, Kansas, with him on the brief), for Defendant-Appellant.

Jill A. O'Donovan of Walker Wilcox Matousek LLP, Chicago, Illinois (John W. Cowden and Eric A. Cunningham III of Baker Sterchi Cowden & Rice, LLC, Kansas City, Missouri, with her on the brief), for Plaintiffs-Appellees.

Before BACHARACH, McKAY, and McHUGH, Circuit Judges.

OPINION

Page 1227

McKAY, Circuit Judge.

This case involves a dispute over insurance coverage following a private airplane crash. Garmin International, Inc., purchased an insurance policy from Appellees. In 2008, while the insurance policy was in effect, Appellant Henry Bartle, an individual who had some dealings with Garmin, crashed while piloting his malfunctioning personal aircraft, injuring himself and his passengers. Mr. Bartle then sought coverage under Garmin's insurance policy for indemnification from claims brought against Mr. Bartle by his injured passengers. Appellees, the insurers, brought suit in the United States District Court for the District of Kansas seeking a declaration under the Declaratory Judgment Act, 28 U.S.C. § 2201, that Mr. Bartle does not

Page 1228

qualify as an " Insured" under Garmin's insurance policy.

Mr. Bartle submitted evidence to the district court to demonstrate he was indeed an " Insured", but the district court refused to consider much of the evidence because the evidence failed to conform to district court rules regarding proper citation. Without considering this evidence, the district court granted summary judgment to the insurers, finding that Mr. Bartle was not an " Insured" under the policy. Mr. Bartle appealed both the district court's grant of summary judgment to the insurers and its refusal to consider the excluded evidence. For the reasons set forth below, we affirm the district court's decision.

BACKGROUND

In 2006, Garmin International, Inc. sought to test a new product, the G900X, in experimental, home-built aircraft.[1] The G900X replaces an aircraft cockpit's traditional analog navigational display with a computerized display and requires extensive installation to connect the product to various aircraft systems. Garmin desired data and diagrams from the installation of the G900X system in experimental aircraft to aid in creating a G900X installation manual.

Mr. Bartle owned a Lancair IV-P aircraft--the sort of home-built, experimental aircraft sought by Garmin for collection of this installation data. Chris Shulte, a Garmin manager and friend of Mr. Bartle, approached Mr. Bartle about installing the new system in his Lancair IV-P. Mr. Shulte agreed to provide the G900X to Mr. Bartle at a discounted price. In exchange, Mr. Bartle was to provide Mr. Shulte and other Garmin employees access to his aircraft in order to obtain installation data.

Mr. Shulte purchased the G900X using his employee discount and resold it to Mr. Bartle at the discounted price. The two then worked on installing the G900X in Mr. Bartle's aircraft primarily on weekends in Mr. Bartle's private hangar in Oregon. During the course of the installation, Mr. Shulte directed one Garmin employee to install part of the wiring in Mr. Bartle's aircraft, and another employee went to Mr. Bartle's hangar to obtain data from the aircraft in order to create technical drawings and gather other data for the G900X manual.

Installing the G900X into the Lancair IV-P aircraft requires an aircraft-specific bracket to hold one component of the G900X system in place. Mr. Bartle, who possessed a background in composite fabrication, designed his own bracket for that purpose. Garmin received permission to use diagrams of Mr. Bartle's bracket in the G900X installation manual and listed Mr. Bartle's company, the Ultimate Group as the supplier for that bracket in the manual. At the time of discovery in this case, the ...


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