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Expert Analysis

Creative Damages Theories In Bad Faith Cases Take A Hit

Law360, New York (March 27, 2014, 4:49 PM EDT) -- On Feb. 25, 2014, a Minnesota district court unsealed nine orders that decided more than 20 motions for partial summary judgment in insurance coverage litigation over asbestos and other toxic exposure liabilities arising from 3M Co.'s respiratory masks and other products. Noteworthy among those orders was a ruling denying 3M equitable relief on its claim that insurers breached their implied covenant of good faith and fair dealing.[1] This ruling underscores several significant limitations on the availability of extracontractual remedies in bad faith litigation that have become increasingly important as insureds assert evermore creative damages theories....

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