N.J. Judge Puts Superstorm Sandy Bad Faith Claims on Hold Pending Decision on Coverage

FREEHOLD, N.J. — A New Jersey state court judge has dismissed allegations of bad faith and breach of good faith and fair dealing from a Superstorm Sandy insurance action, staying resolution of the claims until the principle coverage dispute is decided.

Judge Joseph P. Quinn of the Monmouth County Superior Court issued the ruling after determining that plaintiff Jose Tirado’s complaint states valid causes of action against New Jersey Manufacturers Insurance Co. for bad faith arising from the insurer’s failure to timely and properly pay his Sandy claim. However, Judge Quinn held that the bad faith allegations are duplicative of …