In each of the following exercises, the assignment is to prepare an office memo. Each assignment contains an assignment memo from the supervising attorney that includes all the available facts of the case. Complete the memo based on these facts. If additional facts are needed, note this in the recommendations section of the memo. When preparing the heading of each assignment, use “Supervising Attorney” in the “To” line, and put your name after the “From.” Following each assignment is a reference to the applicable enacted and case law. In some assignments, the case citation includes a reference only to the regional reporter citation; the state reporter citation
is not included. Use only the citation presented in the assignment. The cases are presented in Appendix A. The first time you cite the opinion, use the full citation format for the citation you are given for the opinion in the assignment.

To: Paralegal
From: Supervising Attorney
Re: Espinosa v. Capital Insurance; contract breach

We represent Emilio Espinosa. On May 2 of this year, Mr. Espinosa purchased a home from First City Bank. On that date, he purchased homeowner insurance from Capital Insurance Company. The Bank had foreclosed on the home on March 15, 48 days prior to Mr. Espinosa’s purchase. Mr. Espinosa did not plan to move into the home until July 1 On June 5, 34 days after Mr. Espinosa purchased the home and signed the homeowner insurance contract with Capital Insurance, copper thieves broke into the home, tore into the walls and ceiling, and stole the
copper water pipes. There was extensive damage to the walls and ceiling and water damage to the carpet. The estimated repair costs were $19,000.

The house was vacant from March 15, the date of the foreclosure until the date of the damage; a period of 82 days. Paragraph 20 of the insurance contract Mr. Espinosa signed with Capital Insurance excludes from coverage loss caused by “theft or attempted theft, damage by burglars, . . . if the described location: is held as a residence and has not been occupied as a residence for more than 60 consecutive days immediately before the loss.”
Capital Insurance is denying coverage based upon this section of the contract. Please check the statutory and case law to determine whether Capital Insurance can deny coverage based upon this section.

Statutory Law: For the purposes of this assignment, there is no statutory law that applies.
Case Law: Pappas Enterprises, Inc. v. Commerce & Industry Insurance Co., 422 Mass. 80, 661 N.E.2d 81 (1996) (see Appendix A).