Bad Faith Lawsuits
Farmer's Insurance ordered to pay $9.9 million
- July 19, 2005
A Superior Court jury awarded retirees Linda Williams, 65, and B.J. Walker, 80, $9.9 million because Farmers Insurance Group Inc. failed to defend them against a neighbor who sued for an injury at their condominium complex.
After Juanita Wasson fell in front of Williams and Walker's garage in 2001, sustaining a broken hip, and she sued the homeowners association for the reimbursement of $60,000 in medical bills. Wasson claimed Walker was responsible for the injury because she allegedly opened the garage door without first seeing if the driveway was clear.
The complex had liability insurance with Farmers, which defended the association but not Williams and Walker, instead filing a cross complaint against them alleging Walker's negligence caused the injury. Walker and Williams also filed suit against Farmers, and in a May bench trial, a Superior Court Judge ruled Farmers had breached its contract by failing to defend the two women.
The jury awarded $1.5 million to Walker and Williams for emotional distress, $8.3 million in punitive damages and $52,000 in contract damages. In a statement Farmers said it was considering asking for a new trial or to appeal because it disagreed with the verdict.If
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