Date: 06-09-2025

Case Style:

Darien Nunez and Rances Calvo v. Selective Insurance Company of the Southeast

Case Number: 24-cv-61865

Judge: Rodney Smith

Court: United States District Court for the Southern District of Florida (Broward County)

Plaintiff's Attorney: David Benjamin

Defendant's Attorney: John Pennekamp

Description: Fort Lauderdale, Florida insurance law lawyer represented the Plaintiff who sued on a bad faith breach of contract theory.

In Florida, a bad faith breach of an insurance contract occurs when an insurer acts dishonestly or unreasonably in failing to fulfill its contractual obligations, such as denying a valid claim, delaying payments, or underpaying a claim. Florida law recognizes both first-party and third-party bad faith claims. A bad faith claim can be filed if an insurer fails to act fairly and honestly in settling a claim, resulting in damages to the insured.
Key aspects of bad faith in Florida:

Definition:

Bad faith is defined in Florida Statute 624.155(1) as an insurer's failure to act in good faith to settle a claim, including acts like not attempting to settle claims, making claims payments without proper statements, or failing to promptly settle claims when the obligation to do so is clear.

First-party vs. Third-party:

First-party bad faith involves an insurer's failure to pay a claim owed to the policyholder, while third-party bad faith involves an insurer's failure to adequately defend or settle a claim brought by a third party against the policyholder.

Notice Requirement:

Before filing a bad faith lawsuit, Florida law requires the policyholder to give the insurer written notice of the alleged bad faith, and the insurer has 60 days to cure the violation.

Proof:

To prove bad faith, the policyholder must show that the insurer knowingly acted unreasonably and caused harm.

Damages:

If bad faith is proven, the policyholder can recover damages beyond the original claim, including legal fees and expenses.

When might a bad faith claim be applicable?

When an insurance company denies a claim that should have been paid.

When an insurance company unreasonably delays the processing of a claim.
When an insurance company underpays a claim that is covered by the policy.
When an insurance company fails to properly investigate a claim.
When an insurance company fails to adequately defend or settle a claim against the insured.

Outcome: Settled for an undisclosed sum and dismissed with prejudice.

Plaintiff's Experts:

Defendant's Experts:

Comments: