Philadelphia, Pennsylvania personal injury car wreck lawyers represented Plaintiff, who sued Defendant on a bad faith breach of contract theory claiming to have suffered more than $75,000 in damages as a direct result of Defendant's failure to pay his claim.

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Pennsylvania does not recognize a common law tort claim for bad faith. D'Ambrosio v. Pennsylvania Nat'l Mut. Cas. Ins. Co., 431 A.2d 966, 970 (Pa. 1981). However, a contractual claim for bad faith does exist. Birth Center v. St. Paul Cos., 787 A.2d 376 (Pa. 2001).



A statutory bad faith cause of action may be brought under Pennsylvania's bad faith statute, 42 Pa. C.S. § 8371. However, it only applies to insureds; thus, a third party does not have a direct action against the insurer absent an express written assignment from the insured. Brown v. Candelora, 708 A.2d 104 (Pa. Super. 1998). Pennsylvania has a direct action statute for claimants who cannot collect on a judgment against a bankrupt or insolvent insured, but recovery is limited to the limits of the policy.

01/13/2023 18  SETTLEMENT AGREEMENT by EARL MORGAN. (GREEN, CHRISTOPHER) (Entered: 01/13/2023)

01/13/2023 19  ORDER DISMISSING ACTION WITH PREJUDICE PURSUANT TO LOCAL RULE 41.1(b). SIGNED BY DISTRICT JUDGE JOSHUA D. WOLSON ON 1/13/2023. 1/13/2023 ENTERED AND E-MAILED.(ja) (Entered: 01/13/2023)