Tim and Lisa Parker have come to your law office and relate the following facts: While Tim and Lisa were still married, Lisa purchased insurance on their home from American Security Insurance Company. The policy was issued on November 3, 2010, listing the "insured" as Lisa L. Parker. Shortly thereafter the Parkers entered into a separation agreement under which Lisa deeded her interest in the house to Tim. The Parkers were divorced on August 26, 2015. On November 28, 2016, the house was destroyed by fire. American Security refused to pay on the policy, claiming that Lisa had no insurable interest in the property at the time of the loss. The Parkers sued the insurer, contending that they were entitled to payment under the policy issued to Lisa. Their misfortune with insurance companies did not end there, after additional discussion they also related: They also owned rental property in Lake Charles, Louisiana, that was damaged by a tree falling into the building, shearing off a portion of the facade during Hurricane Sam in September 2014. By October 7, 2014, they notified their insurer, Lafayette Insurance Co., of the damages to this property. In September 2016, two years after the hurricane, the Parkers filed a lawsuit against the issuer for breach of the insurer's duty of good faith and fair dealing in adjusting losses associated with the hurricane. The jury found in favor of the Parkers, concluding that the plaintiffs sustained losses in excess of the amount paid under the defendant's policy in the amount of $144,800.00. Further, the jury concluded that the defendant: (1) failed to initiate a loss adjustment to the property within 30 days after notification of loss; (2) was arbitrary, capricious, or without probable cause in failing to pay any claim due within 60 days after receipt of satisfactory proof of loss; (3) failed to make an offer to settle the property damage within 30 days of receipt of satisfactory proof of loss; and (4) misrepresented pertinent facts or insurance policy provisions related to coverage at issue. From a judgment for the Parkers, Lafayette appealed. After the meeting the Parker's decide to retain your law firm to deal with these two issue. As a firm paralegal you have been assigned to the case to assist the assigned attorney who happens to be the senior partner of the firm. The senior partner would like you to provide a legal memorandum. In the memorandum you are required to identify the issues, the rules, how those rules will likely be applied and your conclusion about how any legal action will play out. Remember you must base all of your positions on the law or facts and must cite accordingly