N.J. Judge OKs Consumer Fraud Claim in Superstorm Sandy Case Against Insurer

TRENTON, N.J. — A property owner in New Jersey that sued over insurance coverage for Superstorm Sandy damage cannot assert claims for bad faith and punitive damages, but may proceed with a claim against its insurer for alleged violation of the state’s Consumer Fraud Act, a federal judge has ruled.

Judge Anne E. Thompson of the U.S. District Court for the District of New Jersey said in a Feb. 21 opinion that damages may be recoverable for violation of the Consumer Fraud Act (CFA) where, as in the instant case, it is alleged that an insurer engaged in deceptive adjustment …