Insureds’ Bad Faith Claim Subject To Arbitration Clause, Judge Rules

Mealey's (November 10, 2015, 11:56 AM EST) -- SAN DIEGO — A federal judge in California on Nov. 6 granted an insurer’s motion to compel arbitration in an insurance bad faith and breach of contract lawsuit, ruling that the insureds’ claims are subject to the terms of the arbitration clause contained in their automobile insurance policy (Robert Heredia, et al. v. Allstate Indemnity Co., No. 15-1642, S.D. Calif.; 2015 U.S. Dist. LEXIS 151175).

(Order available. Document #07-151123-001R.)

Robert and Maria Heredia purchased automobile insurance from Allstate Indemnity Co. and filed a claim for underinsured...
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