Chubb Can't Shake Bad Faith Claim In Coverage Suit

Law360, New York (November 17, 2009, 12:25 PM EST) -- Chubb Custom Insurance Co. has failed in a second attempt to stay a counterclaim of bad faith brought by Grange Mutual Casualty Co. in a dispute over who should foot the bill for litigating and settling two class actions that accused Grange and other insurers of conspiring to shortchange policyholders.

Judge George Smith of the U.S. District Court for the Southern District of Ohio on Friday denied Chubb's renewed bid to sever and stay the bad faith claim, saying the claim was still inexorably tied up...
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