Texas Insurance Law Newsbrief - January 25, 2023

January 25, 2023

CALIFORNIA CODIFIES PRE-SUIT SETTLEMENT DEMANDS

On January 1, 2023, a new California statute went into effect governing time-limited pre-suit settlement demands within the policy limits. Read more...

AUSTIN FEDERAL MAGISTRATE DECLINES TO DETERMINE NUMBER OF OCCURRENCES UNTIL COMPLETION OF UNDERLYING SUIT

A federal magistrate judge in Austin recently recommended that an auto insurer’s motion for summary judgment on the number of occurrences, and thus the number of policy limits potentially owed, be postponed until the completion of the underlying lawsuits. Read more...

AUSTIN FEDERAL MAGISTRATE RECOMMENDS DISMISSING MOST CLAIMS IN UIM BAD FAITH SUIT

A federal magistrate judge in Austin recently recommended that all claims against an auto insurer by its policyholder be dismissed EXCEPT for the policyholder’s request for declaratory judgment (DJ) as to whether uninsured motorist (UIM) benefits were owed. Read more...

NO DAMAGES? THEN NO ATTORNEY’S FEES!

Recently, in Jones v. Allstate vehicle and Property Insurance Company, 2022 WL 17419386 (Tex. App.—Houston [14th Dist.] December 6, 2022) the Texas Court of Appeals in Houston held Jones not a “prevailing party” and therefore not entitled to her attorney’s fees, even though the jury awarded her money. Read more...

CLAIMS FOR “UNFAIR” INSURANCE PRACTICES ARE NOT ASSIGNABLE, EVEN IN CASES OF LIFE AND DEATH

A Federal District Court for the Western District of Texas joined several of its sister courts in holding that claims for unfair insurance practices are not assignable. Read more...

IMPROPERLY JOINED DEFENDANTS’ CITIZENSHIP REALLY CAN BE IGNORED

In Hang Nguen, et al. v. Amguard Insurance, 2022 WL 17477545 (E.D. Tex., December 6, 2022), a Federal District Court for the Eastern District of Texas followed the recent, binding precedent of Advanced Indicator and Manufacturing, Inc. v. Acadia Insurance Co, 50 F.4th 469 (5th Cir. 2022) regarding improperly joined defendants. Click here...

FEDERAL MAGISTRATE RECOMMENDS DENIAL OF INSURER’S MOTION TO PRECLUDE ATTORNEY’S FEES IN COVERAGE DISPUTE

Recently, a U.S. Magistrate Judge for the Western District of Texas—Waco Division recommended that the district court deny an insurer’s motion to preclude attorney’s fees after finding that the claimant satisfied the pre-suit notice requirements of the Texas Insurance Code. Click here...

COURT OF APPEALS AFFIRMS SUMMARY JUDGMENT ON EXTRA-CONTRACTUAL CLAIMS IN FAVOR OF INSURER

In Orange Cup Drive In LLC v. Mid-Continent Casualty Co., No. 05-21-00448-CV, 2023 WL 110190 (Tex. App.—Dallas, Jan. 5, 2023, mem. op.), Orange Cup operated a convenience store and decided to open the inactive gas station at its site. Click here...