Kenneth M. Romstadt v. Allstate Insurance Company
Court of Appeals for the Sixth Circuit
1Opinion of the Court
NATHANIEL R. JONES, Circuit Judge.
Plaintiff Kenneth Romstadt is appealing summary judgment for Defendant Allstate Insurance Company (“Allstate”) in this diversity action alleging bad faith denial of an insurance claim. For the reasons that follow, we hold that in order for an injured third party to bring a claim against an insurer for bad faith in failing to settle within policy limits, there must first be an adjudicated excess judgment entered against the insured. We affirm the decision of the district court.
I. Background
On December 20,1989, Tracy Smith “rear-ended” the ear Kenneth Romstadt…
2Cases cited28 opinions
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- City of Willoughby Hills v. Cincinnati InsuranceOhio Supreme Court · 1984
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