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Florida Supreme Court

Case Status

Decided

Docket Number

SC08-1968

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Florida Supreme Court rejects expansion of bad faith cause of action against insurers

May 06, 2010

The Florida Supreme Court rejected an expansion of the common law bad faith cause of action to insureds who suffer no excess judgments. The court concluded that the insurance company’s actions did not cause the plaintiff’s husband, the insured, to sustain the claimed damages of $4 million or to be exposed to liability in excess of its policy limits.

U.S. Chamber files amicus brief

March 17, 2009

NCLC urged the Florida Supreme Court to reject a dramatic expansion of the common law bad faith cause of action to insureds who suffer no excess judgments. NCLC argued that the lower court's expansion of the bad faith cause of action would hurt insurance providers by increasing the costs and burdens of insurance litigation; it would hurt Florida's citizens by reducing affordable coverage; and the expansion would hurt the Florida economy by making the state uniquely hostile to liability insurance providers.

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