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GIBBS v. STATE FARM MUT. INS. CO.

Nos. 74-2347, 74-2444.

544 F.2d 423 (1976)

Michael GIBBS, a minor, by and through his guardian ad litem, Tom Gibbs, Plaintiff-Appellee, v. STATE FARM MUTUAL INSURANCE COMPANY et al., Defendants-Appellants. Michael GIBBS, a minor, by and through his guardian ad litem, Tom Gibbs, Plaintiff-Cross Appellant, v. STATE FARM MUTUAL INSURANCE COMPANY et al., Defendants-Appellees.

United States Court of Appeals, Ninth Circuit.

October 22, 1976.

Attorney(s) appearing for the Case

Jack Miller of Nebaker, Stoops, & Sharon, San Francisco, Cal., for Michael Gibbs.

R. S. Cathcart, Leighton M. Bledsoe, of Bledsoe, Smith, Cathcart, Boyd, & Eliot, San Francisco, Cal., for State Farm Mut. Ins. Co.

Before ELY and TRASK, Circuit Judges, and CHRISTENSEN, District Judge.

TRASK, Circuit Judge.

This is an appeal by an insurance company from a jury verdict and judgment awarded to an injured party for the company's bad faith failure to settle a claim within the limits of an insurance policy. A cross-appeal by the plaintiff asks for punitive damages and a shifting of the burden of proof in the event of a new trial. Jurisdiction of the district court was based upon 28 U.S.C. § 1332 (diversity of citizenship) and 28 U.S.C. § 1441...

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