Robert Hollman and Darlene Hollman v. Liberty Mutual Insurance Co., a Corporation, Robert Hollman and Darlene Hollman v. Dale Electronics, Inc.

LAY, Chief Judge.

This is a diversity suit based on a claim of damages for alleged bad faith exercised by plaintiff’s employer and its worker’s compensation carrier for failure to pay benefits on a work related claim. The district court held the South Dakota Worker’s Compensation Act provided the exclusive remedy and granted summary judgment in favor of the defendants. The plaintiffs, Darlene Hollman and Robert Hollman, appeal. We reverse the grant of summary judgment and remand to the district court for further proceedings.

Darlene Hollman was employed by Dale Electronics, an electronics…