Federal Judge Says Amount In Controversy Could Exceed $75,000 If Bad Faith Is Proven

Mealey's (September 13, 2017, 3:58 PM EDT) -- CAMDEN, N.J. — Although an insured’s claim for breach of contract does not exceed the federal jurisdictional minimum amount in controversy of $75,000, a New Jersey federal judge on Sept. 12 refused to dismiss the insured’s complaint, noting that if the insured is successful in proving that the insurer acted in bad faith in handling an underinsured motorist claim, the amount in controversy could exceed $75,000 (Beth Gussman v. Government Employees Insurance Co., No. 16-8563, D. N.J., 2017 U.S. Dist. LEXIS 146995)....

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