Court Won't Pare Down Plumber's Insurance Bad Faith Suit

By Jeff Sistrunk (May 28, 2020, 9:18 PM EDT) -- A California appeals court on Wednesday rejected Navigators Specialty Insurance Co.'s bid to trim portions of a plumbing contractor's bad faith lawsuit claiming the insurer mishandled its defense of construction defect actions, finding the allegations in question do not run afoul of a state statute barring lawsuits aimed at stifling free speech.

A three-judge panel of the state Court of Appeal's Fourth Appellate District affirmed a trial court's ruling denying Navigators' special motion to strike 14 paragraphs of allegations from policyholder Trilogy Plumbing Inc.'s bad faith lawsuit pursuant to a California statute prohibiting so-called strategic lawsuits against public participation, or SLAPPs....

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