Firm representing insurance companies plans to enter lawsuit against Xcel Energy in Marshall Fire

Firm plans to enter lawsuit against Xcel Energy in Marshall Fire

The cause of the Marshall Fire that destroyed more than 1,000 homes and businesses in Boulder County in December 2021 remains undetermined. That isn't stopping insurance companies from moving forward with plans to join a lawsuit aimed at passing the cost of insurance claims onto the utility company. 

(credit: CBS)

A California-based attorney, representing insurance companies, has told a judge in Boulder that it plans to enter the lawsuit against Xcel Energy over the fire, the most destructive in Colorado history. Insurance companies are trying to recover money paid out to fire victims by suing whoever the court determines may have caused the massive blaze.

Craig Simon a California attorney with the law firm Berger Kahn told CBS News Colorado, "What they're seeking to do is to get recovery from the responsible party. Our system is built on the responsible party, ultimately paying for their conduct."

The Boulder County Sheriff's Office has yet to announce any responsibility. Xcel has consistently denied that its lines caused the blaze more than a year ago. Video taken the day of the fire showed lines arcing, but Xcel says the fire had already begun by then.

Now, attorney Craig Simon has informed the court he is representing insurance companies in the case seeking damages from the power company.

"It's my belief that one of the ignition starts to the Marshal Fire is, in fact, utility caused."

CBS

In court filings, Xcel has maintained even if its lines did in some way play a role in the fire, the 100mph winds were an act of God for which it is not responsible.

Simon added, "Those electrical facilities have to be designed to withstand normal and foreseeable winds. And when I say normal, I understand. In this case, the winds were very high, but that's normal. It occurs, and you have to anticipate that."

The sheriff's office is now hoping to release a report on the cause of the multibillion-dollar fire sometime in the first quarter of the year.

Xcel responded to questions from CBS News Colorado with a statement it has issued before, "We have conducted our own investigation into the cause of the Marshall Fire, and based on that review, we do not believe the fire was caused by our equipment or operations."

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