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IN RE XL SPECIALTY INS. CO.

No. 10-0960.

373 S.W.3d 46 (2012)

In re XL SPECIALTY INSURANCE COMPANY and Cambridge Integrated Services Group, Inc., Relators.

Supreme Court of Texas.

Decided June 29, 2012.

Attorney(s) appearing for the Case

David L. Brenner , Belinda May Arambula , Burns Anderson Jury & Brenner LLP, Austin, TX, for XL Specialty Insurance Company.

Michael P. Doyle , Jeffrey L. Raizner , Patrick Mason Dennis , Doyle Raizner LLP, Alan B. Daughtry , Attorney-at-Law, Houston, TX, for Real Party in Interest Jerome Wagner.

David L. Brenner , Burns Anderson Jury & Brenner LLP, Austin, TX, for Other Interested Party Melissa Martinez.

Chief Justice JEFFERSON delivered the opinion of the Court, in which Justice HECHT, Justice WAINWRIGHT, Justice MEDINA, Justice GREEN, Justice JOHNSON, Justice GUZMAN, and Justice LEHRMANN joined.

We must decide whether, in a bad faith action brought by an injured employee against a workers' compensation insurer, the attorney-client privilege protects communications between the insurer's lawyer and the employer during the underlying administrative proceedings. We hold that the privilege does not apply.

I. Background

XL Specialty Insurance Company is Cintas Corporation's workers' compensation insurer. XL's policy included standard provisions requiring...

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