Marino v. State Farm Fire & Casualty Insurance Co.

OPINION SPEARS, Justice.

At issue is whether an insured’s original suit to recover on an insurance policy bars as res judicata a subsequent suit alleging breach of the duty of good faith, even if this duty was not yet recognized at the time judgment was rendered in the first suit. The trial court rendered summary judgment against Marino on the basis of res judicata and the court of appeals affirmed. 774 S.W.2d 107. Because we hold that res judicata does not bar Marino’s “bad faith” suit, we reverse the judgment of the court of appeals and remand the cause for trial.

Marino purchased a fire…