Congratulations to Arezoo Jamshidi for prevailing on behalf of a national insurance carrier in the Ninth Circuit Court of Appeals!
This case arose from a third party claim for breach of good faith and fair dealing against the national insurance carrier. The plaintiff sued the carrier for bad faith arising out of an auto versus motorcycle accident. The carrier insured the automobile driver who struck the motorcyclist. Plaintiff claimed that the insurer acted unreasonably when it did not accept his $100,000 policy limits demand. The district court granted summary judgment in favor of the insurer finding that it did not act unreasonably for failing to accept plaintiff’s settlement demand.
In a 2-to-1 decision, and after a hard fought oral argument, the Ninth Circuit affirmed the trial court’s order granting summary judgment. The Ninth Circuit determined that the insurer did not act in bad faith by not accepting the policy limits demand where the carrier made it clear in numerous communications to Plaintiff and his girlfriend that it required Plaintiff’s medical bills and records. Despite numerous attempts to obtain this information from Plaintiff, his girlfriend and his counsel, Plaintiff failed to provide the required documentation to adequately investigate the settlement demand. The Ninth Circuit held that “[a]n insurance company is entitled to receive medical records and bills to aid in evaluating a settlement offer.” As such, the appellate court affirmed the district court’s ruling.