U.S. District Court Rules that Negligence Can Evidence Bad Faith in Excess Verdict Case

[Editor's Note: Although this decision does not result from a mold dispute, HarrisMartin editors feel it could have an impact on the future of mold-related third-party cases involving excess verdict bad faith.]

PHILADELPHIA - The U.S. District Court for the Eastern District of Pennsylvania ruled Jan. 28 that the negligence standard applies to the defendant's conduct in an excess verdict bad faith case. Christine C. Schubert, Trustee of the Bankrupt Estate of David Alicea, Plaintiff, v. American Independent Insurance Company, Defendant, No. 02-6917 (D. Pa., E. Dist.).

The court granted the plaintiff's motion in limine for application of the negligence …