HENEGAN v. MERCHS. MUT. INS.


31 A.D.2d 12 (1968)

John Henegan et al., Appellants, v. Merchants Mutual Insurance Company, Respondent

Appellate Division of the Supreme Court of the State of New York, First Department.

November 7, 1968.


Attorney(s) appearing for the Case

Herbert Nason of counsel (Nason & Cohen, attorneys), for appellants.

Robert Hill Nix (Paul A. Crouch with him on the brief), for respondent.

BOTEIN, P. J., STEVENS, EAGER and McGIVERN, JJ., concur.


TILZER, J.

The issue posed by the present appeal is whether an action may be maintained against an insurance company for its bad faith and/or fraud in failing to settle a negligence case in the absence of a showing that the plaintiff insured has paid the excess judgment recovered against him. The court below answered this question in the negative and accordingly dismissed the complaint at the close of plaintiffs...

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