Bad Faith Sentinel - March 2012
Panel holds that without an adjudicated excess judgment a claim for bad faith failure to settle must be dismissed.
The Eastern District of Pennsylvania determines that statutory bad faith claims are in the nature of a penalty and are therefore not assignable.
Defense immediately owed notwithstanding deductible, as any other interpretation would nullify the defense clause in a policy.
Insurer not liable for bad faith refusal to settle claims when the plaintiff refuses to assure satisfaction of medical liens.