Monday, January 9, 2012

Recent Eastern District Federal Court Bad Faith Case of Note

In a decision handed down last month, the Eastern District Court of Pennsylvania ruled in Zenith Ins. Co. v. Wells Fargo Ins. Services of Pennsylvania, Inc., 2011 WL 6210686 (E.D.Pa. Dec. 13, 2011) (mem.), that the bad faith statute, 42 Pa.C.S. Section 8371 was not limited to a claim involving a denial of benefits.

In Zenith, the court noted that the bad faith statute should be construed as a remedial statute is designed to be broadly construed as a remedy for all instances of bad faith by insurer whether occurring before, during or after litigation.

Anyone desiring a copy of the recent bad faith decision of note may contact me at dancummins@comcast.net.

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