11th Cir. Affirms Dismissal of Homeowner's Belated Bad Faith Claim

MIAMI - The 11th Circuit Court of Appeals affirmed dismissal of a bad faith action on April 13, agreeing with insurer Liberty Mutual that the action was barred by res judicata. Shulman v. Liberty Mutual Fire Insurance Co., No. 04-16681 (11th Cir.).

The court agreed with the insurer that the insured's decision to accept a settlement and dismiss his earlier related contract action foreclosed any opportunity to file a new action on the same claim.

Steven M. Shulman filed the two-count bad faith action in May 2004, alleging that Liberty Mutual did not make good faith attempts to settle two …