Auto Liability Carrier Didn't Act in Bad Faith by Rejecting Settlement

The U.S. 9th Circuit Court of Appeals this week upheld the dismissal of a bad faith claim against an automobile liability insurance for failing to settle a personal injury suit without the approval of the workers’ compensation carrier for the injured motorist’s employer. Cedar Warren had an automobile liability coverage with the Deerbrook Insurance Co. It had bodily injury liability coverage with limits of $15,000 per person and $30,000 per accident. In March 2000, Warren was involved in a car accident with Robert Dorroh. The accident left Dorroh a paraplegic. Dorroh was traveli...