Civil trial over lagoon crash of $1 million Bugatti called off for now

Two years ago, a Texas used car dealer drove a $1 million 2006 Bugatti Veyron into a lagoon, claiming he had been distracted by a pelican while behind the wheel. This week, a civil trial was supposed to begin over an insurance company's claim that Andy House destroyed the Bugatti to collect on a $2.2 million policy -- but in a last-minute change, the trial was indefinitely postponed without explanation.

Andy House of Lufin, Texas, sells high-end used cars and bought the 1,001-hp Bugatti in October 2009. According to Philadelphia Indemnity Insurance, House took out a $2.2 million collector's car policy on the car -- which happened to equal the debts House owed to a business parter. That policy was written for a car meant to sit in a garage and stored as a collector's item; instead, the insurance company says, House listed the Bugatti for sale and drove it nearly 1,200 miles in three weeks.

Then came the accident, which House blamed on a low-flying pelican, but happened to be caught on video by passers-by that showed the Veyron slowly steered into a shallow lagoon. The video shows House didn't brake before the car hit the water; documents also show House also left the Veyron's quad-turbo 16-cylinder engine running for 15 minutes while the car was submerged -- ensuring the engine was damaged beyond repair.

After Philadelphia Indemnity filed suit, House counter-sued, denying the insurance company's claims and arguing it misled him by agreeing to cover the Bugatti in the first place and should pay the full $2.2 million. While the trial was set to begin Monday, court documents show it was postponed, with no new date set. While that could indicate a settlement, there's no evidence that's the case yet; we've asked both sides for comment, and we'll update when we hear back.

UPDATE: Mark Mann, an attorney for House, says the federal judge postponed the trial after a new witness emerged: "The case is ready for trial with many depositions having been taken so this is hopefully a short delay because the Judge wants to do things right."