Allstate loses bid to overturn $14M insurance bad faith verdict

The circuit court noted that whether an insurer had acted unreasonably, and thus in bad faith, in rejecting a settlement demand was “a question of fact for the jury.” (Photo: Shutterstock)

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The U.S. Court of Appeals for the Ninth Circuit has affirmed a decision by the U.S. District Court for the Central District of California denying Allstate Indemnity Company’s motion for judgment as a matter of law (JMOL) and motion for new trial after a jury found Allstate guilty of bad faith refusal to settle under California law and awarded Carlos Madrigal, Richard Tang, and Anna Tang approximately $14 million in damages — plus interest.