Insurance
Oct. 27, 2012
Prior decisions support 9th Circuit's original Du opinion
The amended decision still can be read as suggesting those principles are, in fact, accurate statements of California law. Such a conclusion would be well-founded based on many prior decisions.
Kirk A. Pasich
Partner and Co-Leader of the Insurance Recovery Group
McGuireWoods LLP
Phone: (310) 956-3462
Email: kpasich@mcguirewoods.com
Loyola Law School
In June, the 9th U.S. Circuit Court of Appeals made two statements that came under criticism from attorneys representing insurance companies in its Du v. Allstate Ins. Co., 581 F.3d 1118 (9th Cir. 2012), decision. First, the 9th Circuit held that "an insurer can violate the duty of good faith and fair dealing by failing to attempt to effectuate a settlement within policy limits after liability has become reasonably clear." Second, the 9th Circuit held an insurer's genuine dispute ...
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