Franks v. State National Insurance Company

District Court, M.D. Louisiana·Decided August 5, 2025·No. 3:23-cv-00437·Unknown

Opinion

UNITED STATES DISTRICT COURT MIDDLE DISTRICT OF LOUISIANA

ROBBIE FRANKS, CIVIL ACTION INDIVIDUALLY AND ON BEHALF OF ESTATE OF LAWRENCE FRANKS

VERSUS 23-437-SDD-RLB STATE NATIONAL INSURANCE COMPANY

OMNIBUS RULING Before the Court are multiple Motions in Limine; two Motions in Limine filed by the Plaintiff Robbie Franks, both individually and on behalf of the estate of Lawrence Franks1 which the Defendant, State National Insurance Company (“SNIC”), oppose.2 Defendant, SNIC, filed an Omnibus Motion in Limine3 which the Plaintiff opposes.4 For the reasons that follow, the Motions are granted in part and denied in part. I. BACKGROUND This is a claim by the assignee of SNIC’s insured to recover damages awarded by a 13th Judicial District Court jury that exceeded the limits of the applicable insurance policy issued by SNIC.5 Plaintiff alleges that SNIC arbitrarily and capriciously failed to settle the underlying lawsuit for the policy limits, thereby exposing its insureds to an excess judgment at trial.6 Plaintiff seeks the excess damages and penalties and

1 Rec. Docs. 42, 43. 2 Rec. Docs. 51, 52. 3 Rec. Doc. 44. 4 Rec. Doc. 54. 5 The factual background is set forth in the Court’s Ruling on Plaintiff’s Motion for Partial Summary Judgment, Rec. Doc. 38. 6 La. R.S. 22:1892, formerly, R.S. 22:1973(A); Kelly v. State Farm Fire & Cas. Co., 2014-1921 (La. 5/5/15), 169 So. 3d 328. attorney’s fees under Louisiana law.7 A written offer to settle for the policy limits was sent by the plaintiff in the underlying suit to SNIC’s insured on January 7, 2020. The offer to settle expired by its terms on February 6, 2020. The reasonableness of an insurer’s claims decisions depends on the facts known to the insurer at the time of its action.8 The reasonableness of SNIC’s claim determination not to settle turns on what

SNIC claims professionals knew as of February 6, 2020. II. Plaintiff’s Motions in Limine (Rec. Docs. 42 and 43) Plaintiff moves for pretrial evidentiary rulings discussed in sections I.A. – I.D. below: A. Plaintiff moves to exclude any evidence and argument that SNIC’s insured driver, Larry Frank, was not at fault; that the accident did not cause Lawrence Franks’ injuries and subsequent damages; that Lawrence Franks’ stroke(s)—as opposed to the car accident/neck surgery—caused his balance issues; and that Lawrence Franks passed away following trial.9

Fault was determined by the State Court jury. The Court will exclude argument that calls into question or challenges the jury’s verdict. However, evidence of the information that SNIC’s claims professionals had as of February 6, 2020, is the ultimate factual inquiry and thus relevant. Objections are reserved to trial. B. Plaintiff moves to exclude SNIC’s proposed Exhibits 36, 58, 59, and 60.10 These exhibits all postdate the relevant time period, which is on or before February 6,

7 Id. 8 Lemoine v. Mike Munna, L.L.C., 2013-2187 (La. App. 1 Cir. 6/6/14), 148 So. 3d 205, 215 (citing Louisiana Bag Company, Inc. v. Audubon Indemnity Company, 08–0453 (La.12/2/08), 999 So.2d 1104, 1119). 9 Rec. Doc. 42. 10 Pretrial Order, Rec. Doc. 41. 2020. Accordingly, the Motion in Limine is granted and Defendant’s exhibits 36, 58, 59, and 60 are excluded. C. Plaintiff moves to “preclude” Defendant’s Proposed Facts 1, 2, 7, 9, 10, 12, 18, and 21, listed in the Pre-Trial Order.11 The Motion in Limine is DENIED. All evidentiary objections are reserved to the time of trial.

D. Plaintiff moves to deem admitted and established plaintiff’s Rule 56 Statements of Undisputed Material Facts that were not disputed by SNIC in opposition to Summary Judgment.12 The Court is persuaded by the Defendant’s argument that a “judicial admission is a formal concession in a pleading that is binding on the party making it.”13 The Court declines to use its discretion to deem allegations to which the Defendant did not respond in opposition to a Rule 56 motion admitted at trial. The Motion to deem admitted is DENIED. III. Defendant’s Omnibus Motion in Limine (Rec. Doc. 44) The Defendant seeks to exclude 31 enumerated categories of evidence/argument. Plaintiff concedes exclusion of Items 1, 3, 5, 8, 9,14 12, 15, 17, 18,

20, 22, 26 -31. The Motion in Limine is GRANTED as to those conceded by the plaintiff. The remaining categories of evidence/argument which Defendant seeks to exclude are:

11 Id. 12 Rec. Doc. 43. 13 Rec. Doc. 51, p. 1 (citing Martinez v. Baily's Louisiana, Inc., 244 F.3d 474, 476 (5th Cir. 2001)). The term “pleadings” for the purposes of judicial admissions are defined by Federal Rule of Civil Procedure Rule 7(b). 14 #9: Defendant objects to evidence of and reference to “awards made in other cases.” Plaintiff concedes to the extent that this is not read to include the award made by the jury in the underlying State Court trial in this case. #2: “[T]he mental impression, mental anguish, mental capacity or mental state of the Plaintiff and/or its owners.”15 In this case the claims of SNIC’s insureds, Reliant Transportation/Reliant On Call, LLC and Larry Frank, have been assigned to Robbie Franks. Robbie Franks will be the beneficiary of any verdict. Under these circumstances the Court finds that evidence of Larry Frank’s or Reliant Transportation’s “the mental

impression, mental anguish, mental capacity or mental state” is more prejudicial than probative and shell be excluded under FRE 401/403. The Motion in Limine as to #2 is GRANTED. #6: “Golden Rule” evidence or argument.16 It is axiomatic that arguments which invite jurors to place themselves in the position of the Plaintiff are inadmissible as more prejudicial than probative under FRE 403. Plaintiff objects to the motion to exclude the “Golden Rule” arguing that it is not improper when urged on the issue of ultimate liability.17 Plaintiff argues that “[t]he Fifth Circuit and federal district courts have repeatedly recognized that the use of the Golden Rule argument is improper only in relation to damages.”18 While this distinction has been recognized, in this case, because

of the posture of the assignee, the court GRANTS the defendants motion to exclude “Golden Rule” arguments as overly prejudicial. #7: “Conscience of the Community” – arguments which implore a jury to act as a consciousness of the community.19 The Court finds that this objection is best

15 Rec. Doc. 44-1, p. 4. 16 Id. at pp. 4–5. 17 Rec. Doc. 54, p. 3. 18 Id. (citing Stokes v. Delcambre, 710 F.2d 1120, 1128 (5th Cir.1983); Burrage v. Harrell, 537 F.2d 837 (5th Cir. 1976); Hymel v. UNC, Inc., 68 F.3d 467 (5th Cir. 1995); Baxter v. Anderson, 277 F.Supp.3d 860, 863 (M.D. La. 10/4/17); Hebert v. Prime Ins. Co., 2020 WL 1865952 (W.D. La. 4/13/20). 19 Rec. Doc. 44-1, p. 5. addressed in the context of a developed trial record. The Motion in Limine is DENIED, all objections are preserved for trial. #10: The Motion as to indirect Golden Rule statements20 is GRANTED for the same reasons as set forth in #6 above. #11: Defendant moves to exclude argument regarding the burden of proof.21

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