Peter Kossian v. American National Insurance Co.
California Court of Appeal, Fifth District
254 Cal. App. 2d 647 (1967)
After fire damaged the Bakersfield Inn, its owner, Reichert, hired Peter Kossian (plaintiff) to clean up and remove debris for $18,900, without the knowledge of American National Insurance Company (defendant), the beneficiary of a deed of trust on the property. Kossian completed the work, unaware Reichert had defaulted on the deed of trust. After Reichert went bankrupt, American National received a fire-insurance payout that included compensation for debris cleanup, though the exact amount for that portion was unclear. Kossian sued American National for payment for his completed work; the trial court granted American National summary judgment.
Whether, in a jurisdiction recognizing unjust enrichment, one party may be indemnified twice for the same loss -- once in labor and materials, and again in money -- to the detriment of the party who furnished the labor and materials.