Case of First Impression

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University of Miami v. Great American Assurance Company, 38 Fla. L. Weekly D392a, Case No. 3D09-2010, filed February 2013. Order of summary judgment in favor of insurer regarding indemnification of attorney's fees and costs based on beach of insurance policy and bad faith was reversed in favor of the "additional named" party to the commercial liability policy, who retained independent legal counsel in the defense of a claim after unsuccessfully demanding that the insure provide it with legal counsel separate from that of the insured. In this case of first impression the court found that, where there are diverse legal positions of liability between the insured and the additional named party (rather than of coverage or excess polity limits) there is a conflict of interest which requires the insurer to provide separate and independent legal counsel for each party.
NOTE: A dissent by Judge Shepherd would appear to rely on Rule 4-1.7, Florida Rules of Professional Conduct, to avoid any such conflict of interest.
(Frome RPPTL Subcommittee).


Trenton H. Cotney
Florida Bar Certified Construction Lawyer
Trent Cotney, P.A.
1211 N Franklin St
Tampa, FL 33602

Comments

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