American Guarantee & Liability Insurance v. United States Fidelity & Guaranty Co.

*1040 MEMORANDUM AND ORDER

RODNEY W. SIPPEL, District Judge.

Plaintiff/Counterclaim-Defendant American Guarantee & Liability Insurance Company (“Zurich”) alleges Defendant/Counterclaim-Plaintiff United States Fidelity & Guaranty Company (“USF & G”) and Defendant TIG Insurance Company failed to settle in good faith a lawsuit that was brought by the families of Jose Silva and Ana Silva against their mutual insured, Consolidated Freightways Corporation (“CF”). In this consolidated lawsuit,1 Zurich seeks to recover the seventeen million dollars it paid to the Silva families as CF’s excess insurer from…