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Trejo v. Allstate Fire and Casualty Insurance Co.

Court: WD Tx  09/19/2019  Magistrate Judge Recommends Remand to State Court in Light of Viable Claim for Bad Faith Denial of Coverage by Claims Adjuster

The court noted that a split in authority exists as to whether an adjuster can be liable under Texas Insurance Code § 541.060(a)(2)(A) for “failing to attempt in good faith to effectuate a prompt, fair, and equitable settlement of a claim with respect to which the insurer’s liability has become reasonably clear," but the removal statute is to be strictly construed and any doubt requires resolution in favor of remand.

automobile liability insurance policy, underinsured motorist, UIM, breach of contract, unjust enrichment, common law duty of good faith and fair dealing, Chapter 541, Texas Insurance Code, Deceptive Trade Practices Act, DTPA, Uniform Declaratory Judgment Act, removal, motion to dismiss, motion to remand, diversity jurisdiction

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