Recently, the Ninth Circuit Court of Appeal rejected Allstate Insurance Company's argument that it did not need to make a settlement offer because the injured person had not made a demand. That case involved a car accident that resulted in injuries to one of the drivers. The injured driver's medical bills exceeded $108,000. The insurance company had a policy limit of $100,000 per person. Yet, Allstate did not offer its policy limit until it was too late. The injured driver went to trial and obtained a judgment of more than $4 Million. The Court of Appeal explained that an insurance company has an obligation to attempt to settle a case when liability becomes reasonably clear even in the absence of a settlement demand.
A recent case in Virginia should make people think twice before they post anything on Facebook. In a wrongful death case, in which a husband filed a lawsuit related to his wife's death in a car accident, the judge imposed a $700,000 penalty on the plaintiff and his lawyer for deleting photos from the plaintiff's Facebook page that might hurt the case. The lawyer was ordered to pay $522,000 and the plaintiff was ordered to pay $180,000.