Court Dismisses Claims Against Insurer For Bad Faith Failure To Settle, And For Consequential And Punitive Damages
Scottsdale issued a policy to Watershed Ventures, LLC, which included Directors and Officers Liability Coverage. Scottsdale filed a declaratory judgment action seeking a declaration that Patrick McGrath was not covered under the policy for a claim against McGrath. McGrath filed counterclaims for bad faith, and consequential and punitive damages, which the United States District Court for the Southern District of New York dismissed as a matter of law.
