Greg Gunny claimed that his father Ralph negligently operated his boat and injured him. Greg wasn’t happy with the speed at which his father’s insurance, Allstate, was handling the claim. Greg Gunny sued Allstate directly for bad faith.In the case of Gunny v. Allstate Ins. Co., 108 Nev. 344, 830 P.2d 1335 (1992) the Nevada Supreme Court addressed the question of whether the third-party son had a cause of action for bad faith directly against his father’s insurance company. The Nevada … [Read more...]
Nevada Follows Bad Faith Standard Enunciated In Anderson v. Continental Ins. Co.
September 20, 2012 by
Primarily, courts across the nation have applied two different standards to determine whether an insurance company has acted in bad faith.First is the standard set by the California Supreme Court case of Gruenberg v. Aetna Ins. Co., 9 Cal 3d 566, 510 P.2d 1032 108 Cal. Rptr. 480 (1973). In Gruenberg, the California Supreme Court found that an insurer breaches the covenant of good faith and fair dealing when it refuses “without proper cause, to compensate its insured for a loss covered by … [Read more...]
Many Nevada Judges Allow UM / UIM Breach Of Contract And Extra-Contractual Causes Of Action To Proceed Simultaneously In The Same Suit
June 22, 2012 by
Some states require policyholders to complete the litigation over the contract portion of a UM / UIM claim before a bad faith or unfair claims practices action can commence. Blanchard v. State Farm Mut. Auto. Ins. Co.,575 So.2d 1289, 1291 (Fla.1991) National Sav. Life Ins. Co. v. Dutton,419 So.2d 1357, 1362 (Ala.1982), Lexington Ins. Co. v. Royal Ins. Co. of Am.,886 F.Supp. 837, 841-42 (N.D.Fla.1995). Some states obligate the policyholder to go through arbitration before the bad faith claim … [Read more...]
If A Cause Of Action Is Not Specifically Excluded By The Policy, You May Have To Look To The Pleadings And The Alleged There To Decide If Coverage Extends To Those Actions
December 28, 2011 by
In the case of Versatility, Inc. v. Capitol Indemnity. Corp., 2:10-CV-1942 JCM (PAL) slip op. (D. Nev. 2011) the U.S. District Court for Nevada explained that if injuries alleged in an underlying complaint arise from an excluded event, that failure to prevent the injury due to alleged negligent hiring or supervision are not covered either.Versatility was a drinking establishment. One of its patrons claimed that an employee assaulted him on the premises. The patron sued Versatility alleging … [Read more...]
A Nevada Court Can Judicially Assign A Judgment Debtor’s Bad Faith Rights Against His Insurance Carrier To The Plaintiff Via Post Judgment Execution
September 28, 2011 by
The recent opinion of Gallegos v. Malco Enterprises of Nevada, dba Budget Rent A Car, 127 Nev. Adv. Op. 51, 255 P.3d 1287 (2011) may be the most significant bad faith case issued by the Nevada Supreme Court in a decade. To understand the case, you’ve got to know the facts.The driver of a Budget rental car injured Gallegos. Gallegos sued the driver who subsequently defaulted. The District Court entered a default judgment in favor of Gallegos for $400,000.00.Gallegos unsuccessfully … [Read more...]
