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KELLEY v. SEARS, ROEBUCK AND CO.

Nos. 87-1246, 87-1387 & 87-1442.

882 F.2d 453 (1989)

Norman G. KELLEY, Plaintiff-Appellee, Cross-Appellant, v. SEARS, ROEBUCK AND COMPANY; Allstate Life Insurance Company, Defendants-Appellants, Cross-Appellees.

United States Court of Appeals, Tenth Circuit.

August 4, 1989.

Attorney(s) appearing for the Case

Alfred T. McDonnell, James E. Scarboro, Denver, Colo., James A. Carleo, Colorado Springs, Colo., for plaintiff-appellee/cross-appellant.

Ann Kane Smith, Pasadena, Cal., Arthur L. Klein, Chicago, Ill., Gregory A. Eurich, Peter H. Rudy, Denver, Colo., for defendants-appellants/cross-appellees.

Before BALDOCK, WRIGHT, and BRORBY, Circuit Judges.

Eugene A. WRIGHT, Circuit Judge.

Kelley sued Sears and Allstate for bad faith handling of his Workmen's Compensation and long term disability claims. A jury awarded him $2.17 million in compensatory and punitive damages. We reverse the judgment against Allstate and remand for a new trial against Sears on the amount of compensatory and punitive damages.

I. Background

Sears employed Kelley from 1959-1979. He injured his back in 1970 and applied for...

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