Advertising Disclosure Email Disclosure

Insurer entitled to summary judgment on bad-faith claim unless insured can establish a “nexus” between damages claimed and the alleged cause of loss.

July 1, 2019
Mitchell v. Allstate Ins. Co., No. 17-1806, 2019 U.S. Dist. LEXIS 55613, at *9 (E.D. Pa. Mar. 29, 2019)

The pro se plaintiff filed suit over a denial of benefits under her homeowner’s policy. The plaintiff was adamant that a piece of her backyard tree was struck by lightning, fell and damaged copper pipes encased in concrete underneath the home. She alleged the insurer acted in bad faith pursuant to 42 Pa. C.S.A. 8371 by denying the claim without a reasonable basis and failing to conduct a proper investigation. In granting summary judgment in favor of the insurer, Judge Kearney placed a burden on a bad-faith plaintiff to prove a “nexus” between the damages claimed and their alleged cause. The court also found that evidence of consistent communication with the insured throughout the claims process, efforts to physically inspect the property, and other affirmative steps to further investigate the facts were sufficient to establish a good-faith investigation.

 

Case Law Alerts, 3rd Quarter, July 2019

Case Law Alerts is prepared by Marshall Dennehey Warner Coleman & Goggin to provide information on recent developments of interest to our readers. This publication is not intended to provide legal advice for a specific situation or to create an attorney-client relationship. Copyright © 2019 Marshall Dennehey Warner Coleman & Goggin, all rights reserved. This article may not be reprinted without the express written permission of our firm.

Affiliated Attorney

James P. Shay
Associate
(215) 575-4555
JPShay@mdwcg.com

Practice Areas

Before you send this email please note:

You are attempting to send email, through a link on our website, to an attorney of Marshall Dennehey Warner Coleman & Goggin or an employee in our firm. Please note that your email may not be treated as confidential and does not create an attorney-client relationship. You should not rely upon the transmission of an email through this website if you are seeking to enter into such a relationship. Until such time as we have agreed to represent you, no information in your email will be treated as confidential. Please contact us directly by telephone at 1.800.220.3308 if it is your intent to seek legal counsel with our firm or convey confidential information.

If it is still your intent to send this email, knowing that it may not be treated as confidential, you may accept our terms of agreement by pressing "OK". If you choose not to accept these terms of agreement you may navigate away from this page by pressing "Cancel."