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Good-Faith Law Proposed

A proposed bill in the Minnesota state legislature would enable a party who claims to have been personally injured to name the person alleged to have negligently injured the claimant and person's liability insurer.

By Staff Writer | Updated on May 29, 2008

A proposed bill in the Minnesota state legislature would enable a party who claims to have been personally injured to name not only the person alleged to have negligently injured the claimant, but also the person’s liability insurer, making them both party defendants in any lawsuit.

The Minnesota Trial Lawyers, the main outside proponent of the bill, is seeking to obtain the legal right to name a liability insurance company as a direct additional party defendant in any lawsuit wherein personal injuries and damages are claimed. The proposed laws are called “direct-action” laws because they allow direct suits against insurers in such instances. Only two states currently have such direct-action statutes: Wisconsin and Louisiana.

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