Reservation of Rights
Paul Revere Life Insurance Company vs. Taylor
Year: 2003
Court: U.S. District Court, California Northern District
Case Number: C99-21104JF
Issue:
  • Reservation of Rights
State:
  • California

Paul Revere must expressly inform its policyholder that it is reserving its right to exercise its discretion in making a disability determination.
Hakimfer v. ROC Design
Year: 2010
Court: California Court of Appeal, Second District, Division 5
Case Number: SC 106414
Issue:
  • Conflict of Interest
  • Reservation of Rights
State:
  • California

Counsel provided by the insurer under duty to defend failed to disclose to the insured the potential for a conflict of interest, in violation of attorney professional rules of conduct.
The Babcock and Wilcox Company, et al. v. American Nuclear Insurers, et al.
Year: 2014
Court: Pennsylvania Supreme Court
Case Number: 2 WAP 2014
Issue:
  • Recovery of Reasonable Settlement
  • Reservation of Rights
State:
  • Pennsylvania

In an issue of first impression, the Pennsylvania Supreme Court considered whether an insured can recover reasonable settlement amounts if the insurer refuses to consent to settlement, in cases where the insurer defends its insured under a reservation of rights. UP argued in its brief…
Federal Insurance Co. v. MBL, Inc.
Year: 2013
Court: California Supreme Court
Case Number: H0369296 & H036578
Issue:
  • A Policyholder’s Right to Independent Counsel (“Actual” vs. “Potential” Conflicts)
  • Reservation of Rights
State:
  • California

UP’s position in its amicus brief in this case is that policyholders have a right to independent counsel in cases where the insurer has a “potential” conflict of interest as well as in cases where the insurer’s conflict is actual.. In support of this position,…