Mutual of Enumclaw Insurance v. T&G Construction, Inc.

¶1 — We are asked to balance the interests of an insured defendant in reaching a reasonable settlement with a claimant against the insurer’s interest in fully *259litigating its insured’s legal obligation to that claimant. In the case before us, Mutual of Enumclaw Insurance Company (MOE), the insurer, vigorously defended its insured, a construction corporation, almost to the end. However, MOE declined to participate in the final round of settlement talks. After the talks concluded, MOE challenged the settlement at the reasonableness hearing. Now, in this separate coverage action, MOE challenges…