Date archive: May 2013

No Covered Loss, No Vexatious Refusal to Pay

BSI Constructors, a general contractor, had to replace the roof installed by one subcontractor and improperly protected by other subcontractors. After having to replace the roof at a cost of approximately $174,000, Hartford denied its claim. That denial was supported by the district court on summary judgment and the Eighth Circuit affirmed on appeal on both the breach of contract claim and the vexatious refusal to pay claim.

Ain’t California Great: Defend, Settle Claims as Presented, and Still Confront a Bad Faith Claim

Fidelity National defended Lehman Commercial in multiple cases and settled approximately $900,000 worth of claims presented, but was unable to defeat Lehman’s claim for “bad faith breach” as a matter of law on its motion for summary judgment.

Kansas Insurers Are Subrogated to Their Insured’s Bad Faith Claim Against the Primary Insurer Even When the Insured Had No Personal Exposure

The excess insurer subrogated to the insured’s bad faith claim was entitled to pursue its counterclaim against the primary insurer although the named insured was fully protected from excess exposure by a high/low agreement.


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