STATE FARM MUT. AUTO. INS. CO. v. LEE

No. CV-99-0407-PR.

13 P.3d 1169 (2000)

199 Ariz. 52

STATE FARM MUTUAL AUTOMOBILE INSURANCE COMPANY, Petitioner, v. Hon. Kenneth LEE, Judge of the Superior Court of the State of Arizona, in and for the County of Pima, Respondent, James and Phyllis Martin, husband and wife, and Daryl Leonard, a single man, on behalf of themselves and all other similarly situated individuals, Real Parties in Interest.

Supreme Court of Arizona, En Banc.

December 8, 2000.


Attorney(s) appearing for the Case

Bryan Cave, L.L.P. by Lawrence G. Scarborough, Kelly A. O'Connor, Phoenix, and Brown & Bain, by Philip R. Higdon, Tucson, Attorneys for State Farm Mutual Automobile Insurance Co.

Law Offices of John L. Tully, P.C. by John L. Tully, Barbara S. Burstein, Tucson, and Gabroy, Rollman & Bosse, P.C. by John Gabroy, Richard A. Brown, Tucson, and Law Offices of Garry B. Bryant by Garry B. Bryant, Tucson, Attorneys for James and Phyllis Martin, Daryl Leonard, et al.

Geoffrey C. Hazard, Jr., Philadelphia, Amicus Curiae.

American Corporate Counsel Association by Steven M. Lee, President, Arizona Chapter, Phoenix, Susan Hackett, Of Counsel, Arizona Chapter, Washington, D.C., John H. McGuckin, Of Counsel, Arizona Chapter, San Francisco, Christine D. Aguilera, General Counsel, Skymall, Inc., Phoenix, Steven T. Lawrence, Corporate Counsel, Skymall, Inc., Phoenix, Steven J. Twist, Assistant General Counsel, VIAD Corp., Phoenix, David T. Glynn, Division Counsel, SCB Computer Technology, Inc., Scottsdale, Gary E. Montielh, Corporate Counsel, Summit Builders, Phoenix, Mark N. Rogers, General Counsel, Excell Global Services, Inc., Tempe, Lee V. Bakunin, Co-Counsel, Excell Global Services, Inc., Phoenix, Gregory R. Knight, Corporate Counsel, Olympus Hospitality Group, Scottsdale, Deanie J. Reh, General Counsel, AG Communications Systems, Phoenix, James H. Curtin, Associate General Counsel, The FINOVA Group, Scottsdale, David M. Bixby, General Counsel, Banner Health System, Phoenix, Michael J. Denton, Vice President, Honeywell International, Inc., Phoenix, Gary A. Smith, MD Helicopters, Inc., Mesa, Amicus Curiae.


OPINION

FELDMAN, Justice.

¶ 1 This is a bad faith action in which a class of policyholders of State Farm Mutual Automobile Insurance Company sought discovery of files and other documents relating to State Farm's rejection of their underinsured and uninsured motorist claims. State Farm resisted discovery, arguing the documents were protected by the attorney-client privilege. We granted review to consider the applicable standard for determining whether...

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