Insurer, Restoration Co. Sued Over Property Removed from Home After Superstorm Sandy

TRENTON, N.J. — Homeowners in New Jersey have sued Liberty Mutual and ServiceMaster Restoration Services for removing contents from their residence that were damaged by Superstorm Sandy, then allegedly refusing to compensate them the full cost to replace the items.

The lawsuit, filed last month in Middlesex County Superior Court and removed to federal court Aug. 23, accuses Liberty Mutual and ServiceMaster of violating New Jersey insurance law by delaying and denying coverage for the removed and damaged property despite representations that it would be replaced.

According to the complaint, Hanna Hermina and Souad Iskander’s East Brunswick, N.J., residence …