Granite State Insurance Company v. New Way Out, Corporation

S.D. Alabama

Granite State Insurance Company v. New Way Out, Corporation

DecidedMarch 24, 2020

Docket1:19-cv-00848

StatusUnknown

This text of Granite State Insurance Company v. New Way Out, Corporation (Granite State Insurance Company v. New Way Out, Corporation) is published on Counsel Stack Legal Research, covering District Court, S.D. Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Granite State Insurance Company v. New Way Out, Corporation, (S.D. Ala. 2020).

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Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF ALABAMA SOUTHERN DIVISION

GRANITE STATE INSURANCE ) COMPANY, ) ) Plaintiff, ) ) v. ) CIVIL ACTION 19-0848-WS-M ) NEW WAY OUT, CORPORATION, ) et al., ) ) Defendants. )

ORDER This matter is before the Court on the plaintiff’s motion to dismiss Counts Two and Three of the defendants’ counterclaim. (Doc. 20). The parties have filed briefs and other materials in support of their respective positions, (Docs. 19-20, 29-30), and the motion is ripe for resolution. Counts Two and Three attempt, in skeletal fashion, to allege causes of action for normal and abnormal bad faith under Alabama law. (Doc. 11 at 4-5). The plaintiff correctly points out that the counterclaim fails even to allege all the elements of these causes of action; as such, it necessarily fails to allege these claims with the plausibility required by Rule 8(a) as construed by Bell Atlantic Corp. v. Twombly, 550 U.S. 544 (2007), and other cases. The defendants attempt no defense of their pleading but instead offer almost 200 pages of exhibits to support an unpleaded claim of bad faith failure to settle. For the reasons set forth above, the motion to dismiss is granted. Counts Two and Three of the counterclaim are dismissed. The defendants may file and serve, on or before April 6, 2020, an amended counterclaim that corrects the deficiencies in Counts Two and Three, failing which this dismissal will be with prejudice and without further leave to amend as to the dismissed claims. Before repleading Counts Two and Three, the defendants should satisfy themselves that they can satisfactorily meet the plaintiff’s objection that their bad faith claims must fail as a matter of law for lack of damages.

DONE and ORDERED this 23rd day of March, 2020.

s/ WILLIAM H. STEELE UNITED STATES DISTRICT JUDGE

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IN THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF ALABAMA SOUTHERN DIVISION

GRANITE STATE INSURANCE ) COMPANY, ) ) Plaintiff, ) ) v. ) CIVIL ACTION 19-0848-WS-M ) NEW WAY OUT, CORPORATION, ) et al., ) ) Defendants. )

ORDER This matter is before the Court on the plaintiff’s motion to dismiss Counts Two and Three of the defendants’ counterclaim. (Doc. 20). The parties have filed briefs and other materials in support of their respective positions, (Docs. 19-20, 29-30), and the motion is ripe for resolution. Counts Two and Three attempt, in skeletal fashion, to allege causes of action for normal and abnormal bad faith under Alabama law. (Doc. 11 at 4-5). The plaintiff correctly points out that the counterclaim fails even to allege all the elements of these causes of action; as such, it necessarily fails to allege these claims with the plausibility required by Rule 8(a) as construed by Bell Atlantic Corp. v. Twombly, 550 U.S. 544 (2007), and other cases. The defendants attempt no defense of their pleading but instead offer almost 200 pages of exhibits to support an unpleaded claim of bad faith failure to settle. For the reasons set forth above, the motion to dismiss is granted. Counts Two and Three of the counterclaim are dismissed. The defendants may file and serve, on or before April 6, 2020, an amended counterclaim that corrects the deficiencies in Counts Two and Three, failing which this dismissal will be with prejudice and without further leave to amend as to the dismissed claims. Before repleading Counts Two and Three, the defendants should satisfy themselves that they can satisfactorily meet the plaintiff’s objection that their bad faith claims must fail as a matter of law for lack of damages.

DONE and ORDERED this 23rd day of March, 2020.

s/ WILLIAM H. STEELE UNITED STATES DISTRICT JUDGE

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Granite State Insurance Company v. New Way Out, Corporation, Counsel Stack Legal Research, https://law.counselstack.com/opinion/granite-state-insurance-company-v-new-way-out-corporation-alsd-2020.

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