Strategies, Challenges, and Answers

What Happens If You Split Causes of Action?

Nevada follows the rule that a Plaintiff may not file two separate suits arising from the same set of facts.  The consequence of trying to split causes of action is that if requirements of the rule are satisfied, the second suit will be dismissed.  The Nevada Supreme Court said: As a general proposition, a single cause of action may not be split and separate actions maintained. Reno Club v. Harrah Et Al., 70 Nev. 125, 260 P.2d 304 (1953). The wrongful act of the defendant creates the … [Read more...]

Got Questions?

These posts on the Mills & Associates Nevada Coverage & Bad Faith Law blog are published to provide useful insights on Nevada insurance law to our clients and other subscribers. Many times the topics are suggested by recent case law, or issues raised by litigation.As part of our ongoing effort to provide both timely and helpful information, we invite all our readers to submit issues which they would like to see addressed in future blog posts.Likewise, please submit questions … [Read more...]

Breach Of Insurance Contract And Bad Faith Claims Do Not Have To Be Brought In the Same Lawsuit . . . Sometimes

Often we see breach of insurance contract and bad faith claims included in the same complaint.  However, have you ever wondered if the two causes of action must be brought together?  The case of Pulley v. Preferred Risk Mut. Ins. Co., 111 Nev. 856, 897 P.2d 1101 (1995) tells us that that breach of contract and bad faith suits are distinct and can be brought either together or separately.In Pulley, the Plaintiffs filed their UM claims with the insurance carrier.  They were unable to reach a … [Read more...]

Then There Are Other Times When Breach Of The Insurance Contract And Bad Faith Actions Must Be Brought In The Same Suit

In an earlier post HERE, we discussed a Nevada Supreme Court opinion where the court said that a claim for Breach of the Insurance Contract, and Bad Faith did not need to be brought in the same suit.  However, based upon different facts, other courts have said that the Bad Faith and Breach of Contract suits must be filed in the same action.  In the case of Sosebee v. State Farm Mut. Auto. Ins. Co., 164 F.3d 1215 (9th Cir. 1999), the court ruled that a Plaintiff, who brought a Breach of Contract … [Read more...]