Kransco v. American Empire Surplus Lines Ins. Co.
| Citation | 942 P.2d 414,67 Cal.Rptr.2d 167 |
| Decision Date | 20 August 1997 |
| Docket Number | No. S062139,S062139 |
| Court | United States State Supreme Court (California) |
| Parties | KRANSCO, Appellant, International Insurance Company et al., Respondents, v. AMERICAN EMPIRE SURPLUS LINES INSURANCE COMPANY, Appellant |
Prior report: Cal.App., 63 Cal.Rptr.2d 532.
Petition for review GRANTED.
The issues to be argued before this court shall be limited to (1) Whether an insurer may assert an affirmative defense of the insured's comparative bad faith in a bad faith action brought against the insurer and (2) Whether California public policy prevents the recovery of punitive damages awarded against the insured in the underlying action as consequential damages in the bad faith action against the insurers where the underlying action was decided in a foreign jurisdiction permitting indemnification of punitive damages.
Submission of additional briefing on the second issue is deferred pending further order of the court.
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