501 East 51st Street v. Kookmin Best Insurance Co.Annotate this Case
Plaintiff filed suit against defendants after defendants denied plaintiff's claim for damages to its apartment complex caused by a ruptured underground water main.
The Court of Appeal affirmed the trial court's judgment following summary adjudication in favor of defendants on plaintiff's claim for breach of the covenant of good faith and fair dealing relating to the parties' insurance contract. The court agreed with the trial court that there is no material dispute whether defendants denied the claim in good faith based on an expert report concluding the damage was not caused by the broken water main. In this case, there is no dispute that defendants based their claim denial on the final expert report, and there is no evidence that the report was contrived or false.