Defendant's Attorney: Providence, Rhode Island insurance defense lawyer represented the Defendant.

Description: Providence, Rhode Island insurance law lawyer represented the Plaintiff who sued on a bad faith breach of insurance contract theory.

§ 9-1-33. Insurer’s bad faith refusal to pay a claim made under any insurance policy.

(a) Notwithstanding any law to the contrary, an insured under any insurance policy as set out in the general laws or otherwise may bring an action against the insurer issuing the policy when it is alleged the insurer wrongfully and in bad faith refused to pay or settle a claim made pursuant to the provisions of the policy, or otherwise wrongfully and in bad faith refused to timely perform its obligations under the contract of insurance. In any action brought pursuant to this section, an insured may also make claim for compensatory damages, punitive damages, and reasonable attorney fees. In all cases in which there has been no trial in the superior court on or before May 20, 1981, the question of whether or not an insurer has acted in bad faith in refusing to settle a claim shall be a question to be determined by the trier of fact.

(b) The provisions of this section shall apply to all actions against insurers which have been commenced and are pending in any state or federal court on May 20, 1981.

Outcome: Settled for an undisclosed sum and dismissed with prejudice.

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