Judge: Pennsylvania Law Does Not Recognize Insured’s Bad Faith Claims

Mealey's (September 25, 2015, 12:40 PM EDT) -- WILMINGTON, Del. — Because Pennsylvania does not recognize a subcontractor’s claims for insurance bad faith, dismissal of its claims against an insurer are proper, a federal judge in Delaware ruled Sept. 22 (VSI Sales LLC v. International Fidelity Insurance Co., No. 15-507, D. Del.; 2015 U.S. Dist. LEXIS 126392).

(Opinion available. Document #07-150928-018Z.)

The Delaware Department of Transportation awarded Cherry Hill Construction Inc. a contract as general contractor on a highway construction project, and Cherry Hill entered in to a subcontract with Griffin Sign Inc. International...
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