Walsworth Achieves Favorable Jury Verdict in Insurance Coverage Dispute

Walsworth Partners Jean Daly and Sheila McDonald, along with Senior Paralegals Penny Gutierrez and Michelle MacKay, secured a favorable jury verdict in Los Angeles for a large insurance carrier following a three-week jury trial arising from a residential burglary loss. The insureds sued the carrier for breach of contract, breach of the implied covenant of good faith and fair dealing, and elder abuse, and sought punitive damages in connection with a property insurance claim submitted after a burglary at their home in August 2021

At trial, the team demonstrated that the claim was properly investigated and handled and that the carrier acted reasonably and in good faith in adjusting the loss. Although the plaintiffs contended the claim was underpaid, Walsworth’s team showed that the insurer’s evaluation was supported by the evidence and consistent with the policy terms. Prior to trial, Walsworth’s client issued a statutory settlement offer pursuant to Code of Civil Procedure section 998, which the plaintiffs rejected.

After deliberations, the jury awarded limited contract damages in an amount less than the insurer’s pretrial settlement offer and rejected all claims for bad faith and elder abuse. The jury further declined to award general damages, punitive damages, or attorneys’ fees, resulting in a significant defense victory.