A recent California Court of Appeal case, Howard v. American National Fire Insurance Co., 187 Cal. App. 4th 498 (2010), addresses a question that all insurance litigators will find of particular interest: whether an insurer can breach its duty to settle by rejecting a settlement offer that is within the total available limits of
Bad Faith
Insurer Misconduct: Testing the Reach of the UCL
By Amber Chrystal on
Posted in Bad Faith, General Liability Policies
In Zhang v. The Superior Court of San Bernardino County, E047207 (Super.Ct No. CIVVS707287), the Court of Appeal addressed the issue of whether an insured could bring a claim against an insurer under the Unfair Competition Law (“UCL”), based on an insurer’s violations of California’s Unfair Insurance Practices Act (“UIPA”). Reversing the trial court…
Do California Courts Have Authority to Sanction Insurers for Bad Faith Settlement Negotiation?
By Amber Chrystal on
Posted in Bad Faith, General Liability Policies
At least one court, in a recent decision out of California’s second appellate district, has answered no to that question. In Vidrio v. Hernandez, the court reversed an order imposing sanctions on an insurer for failing to negotiate in good faith at a settlement conference. The court held that even if the insurer’s conduct…
California Court of Appeal Holds Genuine Dispute Doctrine Inappropriate For Jury Instruction In Bad Faith Case
By Tyler Gerking on
Posted in Bad Faith
The California Court of Appeal for the Second District recently affirmed a trial court’s refusal to include an insurer’s proposed jury instructions on the “genuine dispute” doctrine in a bad faith case. McCoy v. Progressive West Insurance Co., 171 Cal. App. 4th 785, 793-794 (2009). McCoy limited the “genuine dispute” doctrine to the summary…