Judge: Bad Faith Claim Can’t Be Maintained Under Special Relationship Theory

Mealey's (October 20, 2015, 3:17 PM EDT) -- PENDLETON, Ore. — Dismissal of insureds’ remaining claims against their insurer is proper because their tort claim for breach of the implied covenant of good faith and fair dealing cannot be maintained under the insured’s special relationship theory, a federal judge in Oregon ruled Oct. 16 (Travis Vail, et al. v. Country Mutual Insurance Co., No. 13-2029, D. Ore.; 2015 U.S. Dist. LEXIS 140984).

(Opinion available. Document #07-151026-001Z.)

Travis and Michelle Vail purchased homeowners insurance from Country Mutual Insurance Co. and filed a claim pursuant to...
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