Date archive: February 2011

Close Counts for Something: Federal District Court in Florida Finds Carrier Did Not Act in Bad Faith in Attempting to Settle Lawsuit Against Its Insured

Summary:  Carrier’s diligent attempts to settle after it received a time sensitive policy limit demand demonstrated that it was not acting in bad faith.  Plaintiff’s counsel  refused to discuss the settlement contained in an overly technical and conditional demand letter while the carrier promptly acted (but failed) to achieve a settlement protecting its insured and…

Is Good Faith Only A Phone Call Away?: The Seventh Circuit Discusses an Insurer’s Duty to the Insured When There Is a “Non-Trivial” Probability of an Excess Judgment

Summary: The Seventh Circuit held an insurer, who controlled the defense of a lawsuit, had a duty of good faith to notify its insured of the “non-trivial probability” of a judgment in excess of the policy limit. R.G. Wegman Construction v Admiral Insurance Imagine this scenario.  During his deposition plaintiff testifies extensively regarding a back…


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