NOVEMBER 2013 BAD FAITH CASES: SUPERIOR COURT AFFIRMS BAD FAITH FINDING BASED ON ADJUSTER’S FAILURE TO PERFORM INDEPENDENT EVALUATION ON UIM CLAIM; PERMITS EXPERT TESTIMONY ON CLAIMS HANDLING; UPHOLDS PUNITIVE DAMAGE AWARD; AND DOES NOT PERMIT EXPERT FEES, INVESTIGATIVE FEES, ARBITRATION FEES AND TRIAL PREPARATION EXPENSES WITHIN THE TERM “COURT COSTS” (Pennsylvania Superior Court)

Plaintiff brought suit against his insurer for bad faith handling of his UIM claim after he was awarded $4M at arbitration despite the insurer’s refusal…

NOVEMBER 2013 BAD FAITH CASES: REVERSING ON BREACH OF CONTRACT CLAIMS IN THE INSURED’S FAVOR, THIRD CIRCUIT STILL AFFIRMS SUMMARY JUDGMENT ON BAD FAITH COUNT FOR FAILURE TO MEET EVIDENTIARY BURDEN OF CLEAR AND CONVINCING EVIDENCE, AND THAT SUGGESTIONS FROM EXPERT REPORTS ALONE ARE NOT SUFFICIENT TO ESTABLISH BAD FAITH CLAIM (Third Circuit)

The insured brought suit against its insurers for breach of contract after its claims for damages resulting from a glass melting furnace blow-up in its…

NOVEMBER 2013 BAD FAITH CASES: COURT DISMISSES BANK’S CLAIM AGAINST TITLE INSURER FOR FAILURE TO STATE A CLAIM AND COMPLAINT DID NOT SET OUT BAD FAITH AND DID NOT SET OUT THE KIND OF CLAIM THAT COULD ALLOW FOR BAD FAITH EVEN WHERE THERE WAS NO COVERAGE OBLIGATION (Middle District)

Plaintiff brought suit against the insurer alleging breach of contract and bad faith for its failure to pay plaintiff’s claim under its title insurance after…