HOUSTON, Jan. 22 (UPI) -- An insurance company says it has dropped its initial opposition to financial payouts from a Houston fire that killed three people.
Great American Insurance Co. said while it initially refused to offer insurance payouts to the three victims' families, the legal argument against those payments was dropped this week, the Houston Chronicle said Thursday.
The insurance company had initially claimed it was not responsible for a $25 million liability in the 2007 fire because the three victims died of smoke inhalation and not from the flames of the blaze.
Boxer Property Management Corp., the owner of the six-story building where the fire took place, holds the insurance policy.
Despite the insurance company dropping its legal argument Wednesday, attorney Randy Sorrels insists the victims' families are still facing an uphill climb toward financial payouts. Sorrels is representing some of the victims' relatives in wrongful death lawsuits.
The Chronicle said Sorrels claims the Boxer group and its insurance companies will likely oppose any payouts given that the deadly fire appears to have been intentionally set.