Business Services Industry
State to review awards. (California Supreme Court's review of an insurance bad faith case)
Business Insurance, January, 1996 by Greenwald, Judy
Punitive award at issue in bad faith case SAN FRANCISCO - California courts may receive some long-awaited guidance on punitive damages when the state Supreme Court reviews an insurance bad faith case. The eventual decision in West American Insurance Co. vs. Freeman, which is not expected for another year or two, might also influence courts in other states.
In accepting the case for review, the California high court said it would focus on the $12 million punitive award made by a jury and later upheld on appeal. It is the largest punitive award to be upheld by a state appellate court in a published decision. Previous high court rulings on punitive damages do not give lower courts adequate rules to apply when juries are trying to determine whether to award punitive...
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