A Nevada Law Blog post recently compared an iconic wild-west film showdown to an upcoming showdown at the Nevada Supreme Court. The showdown will decide whether the Court will impose Cumis-type obligations on Nevada insurance companies where an assigned defense panel counsel faces an irreconcilable conflict between the interests of the insurance company and those of the policyholder. An order just issued by the U.S. District Court, District of Nevada shows that this high noon showdown about … [Read more...]
Is A Nevada Insurance Company Obligated To Provide Its Policyholder With A Conflict-Free Defense? Nevada and Cumis.
Like a classic American western, the stage is set for a showdown. If this were a movie, the overhead sun would reflect off the lawman’s brightly polished star. The gunslinger would strap on his belt and tie the holster to his thigh. You would see mothers rushing their children inside, as the clock ticks closer to noon. People in the saloon would be placing their bets on who would win this upcoming confrontation. However this battle isn’t one of gunpowder and bullets. Instead it is one of … [Read more...]
Nevada Has Not Adopted Cumis
“He who pays the piper, calls the tune”. While this adage may be true at a county fair, it has no place in the practice of law. Attorneys owe a primary duty to their client, no matter who pays the bill, be it a parent, spouse, friend, or insurance company. Just because the insurance company pays the attorney to defend its insured, the attorney’s primary duty is to the client not the carrier. Sometimes conflicts between the insured and the carrier arise when the carrier defends an insured … [Read more...]