Not So Fast – Pennsylvania’s Bad Faith Statute Is Not A Blank Check for Fees

The Third Circuit recently held that a jury bad faith damage award does not automatically entitle a successful claimant to an award of attorney’s fees under Pennsylvania’s bad faith statute. In affirming the district court’s denial of an award of attorney’s fees, the Third Circuit formally endorsed the view that where a fee-shifting statute provides a court with discretion to award attorney’s fees, such discretion includes the ability to deny a fee request that is outrageously excessive. In doing so, the Third Circuit joins the …

Continue Reading

Insurer’s Reliance on Prior Unpublished Decision Sufficient To Defeat Bad Faith Claim

In Badiali v. New Jersey Manufacturers Insurance Group, 2015 WL 668206 (N.J. Feb. 18, 2015), the New Jersey Supreme Court found that an uninsured motorist carrier did not commit bad faith by acting in accordance with an unpublished decision from a case it previously litigated.

The policyholder was involved in a car accident with an uninsured motorist. He filed an uninsured motorist claim with his employer’s insurer and his personal insurer. The matter was arbitrated, and the policyholder was awarded $29,148.62. The personal insurer …

Continue Reading