Vaughan v. ACCC Insurance Co.

BARNES, Presiding Judge.

Johnny and Betty Vaughan sued ACCC Insurance Company, alleging that the company acted in bad faith by failing to pay a judgment they obtained in a personal injury suit against ACCC’s insured. ACCC responded that it was not liable for the judgment because it had withdrawn coverage after its insured failed to cooperate in the investigation and defense of the underlying claim. The trial court denied the parties’ cross-motions for summary judgment, and the case went to trial. After three-and-a-half days of testimony and argument, the jury returned a defense verdict.

The…