Ga. High Court Ruling Curbs 'Gotcha' Bad Faith Cases
Law360 (March 12, 2019, 9:47 PM EDT) -- Georgia’s high court ruled Monday that an insurer can’t be sued for failing to settle a claim against its policyholder within policy limits unless it received a valid settlement offer, a decision that clarifies the prerequisites for filing bad faith actions in the state and should curtail what some observers call abusive “gotcha” demands by plaintiffs lawyers.
In a unanimous opinion, the Georgia Supreme Court found that First Acceptance Insurance Co. didn’t act negligently or in bad faith when it failed to settle two individuals’ personal injury claims against the estate of its late policyholder, Ronald Jackson, who caused a 2008...
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