Insurer’s Denial Of Defense To Developer In Defects Suit Was Not In Bad Faith

Mealey's (January 23, 2023, 1:15 PM EST) -- SAN DIEGO — A California appellate court panel ruled that a trial court did not err in granting summary adjudication in favor of an insurer on a bad faith claim in a coverage dispute stemming from the insurer’s failure to defend a developer and contractor in a construction defects lawsuit because a genuine dispute existed between the parties at the time the developer and contractor made their request to the insurer to contribute to their defense costs....