Judge: Attorney Fee Award Sends Message That Bad Faith Denials Will Not Be Tolerated

(September 2, 2016, 1:36 PM EDT) -- ELIZABETH CITY, N.C. — A North Carolina federal judge on Aug. 23 found that insureds’ request of $63,962.50 in attorney fees is reasonable, reiterating that a Hurricane Irene coverage dispute is a rare instance of a bad faith denial for which the important goal of sending a strong message that bad faith denials will not be tolerated is best served by awarding atypical attorney fees (Gary Woodson, et al. v. Allstate Insurance Co., No. 13-21, E.D. N.C., Northern Div.; 2016 U.S. Dist. LEXIS 112098).

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