Judge Dismisses Remaining Claims In Third-Party Insurance Bad Faith Suit

(September 1, 2017, 10:29 AM EDT) -- SAN ANTONIO — Third-party claimants may not bring a claim for insurance bad faith against an automobile insurance provider because they have failed to show that a duty under G.A. Stowers Furniture Co. v. American Indemnity Co. existed between the insurer and its insured since the claimants had failed to make any settlement demand within the insured’s policy limits, a federal judge in Texas ruled Aug. 29 in granting the insurer’s motion for judgment on the pleadings (Amanda Montoya, et al. v. State Farm Mutual Automobile Insurance Co., No. 16-0005, W.D. Texas, 2017 U.S. Dist. LEXIS 138991)....

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