State Farm Mutual Automobile Insurance v. Paynter

OPINION

SCHROEDER, Presiding Judge.

This is an action by the appellees, Ted Paynter and Ada Paynter, against State Farm Automobile Insurance Company (State Farm), Appellant, to recover under a judgment previously obtained by Ted Paynter against an insured of State Farm.

The previous judgment was obtained after State Farm refused to defend its insured. The insured admitted liability pursuant to an agreement in which Paynter agreed not to execute against the insured, in exchange for an assignment of the insured’s rights in the State Farm insurance policy. In this action, the trial court entered…