No. 94-0110.

903 S.W.2d 338 (1995)

REPUBLIC INSURANCE COMPANY and Southwest Adjusting Services, Inc., Petitioners, v. Linda H. STOKER and John Stoker, Respondents.

Supreme Court of Texas.

Decided July 7, 1995.

Attorney(s) appearing for the Case

Joseph L. Hood, Jeffrey S. Alley, Eric M. Brittain, Stephen B. Tatem, Jr., El Paso, for petitioners.

Terry Bassham, Joel Fry, El Paso, for respondents.

ENOCH, Justice, delivered the opinion of the Court, in which PHILLIPS, Chief Justice, and GONZALEZ, HIGHTOWER, HECHT, CORNYN, and OWEN, Justices, join.

This case presents the question whether an insurer breaches its duty of good faith and fair dealing to its insured if it denies a claim for an invalid reason when there was at the time a valid reason for denial. The trial court granted summary judgment against the insureds on their policy claim holding that there was...

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