Earlier this month, the state’s high court issued a written opinion in an Alabama car accident case requiring the court to determine if the jury’s verdict in favor of the plaintiff should be reversed due to the plaintiff’s failure to comply with a clause in the contract with the defendant insurance company. Ultimately, the court concluded that the defendant insurance company was in a position to object but failed to do so prior to trial. As a result, the defendant’s post-trial motion was denied.
The Facts of the Case
The plaintiff was involved in a car accident when she was rear-ended while stopped at a non-functioning traffic light. At the time of the collision, the plaintiff’s husband was driving the car. The plaintiff filed a lawsuit against the other driver who she claimed was responsible for the accident, as well as her husband’s insurance provider under the underinsured motorist provision.
The day before trial, the plaintiff settled her claim with the other driver and that driver’s insurance company. The plaintiff let her husband’s insurance company know prior to the beginning of trial. However, that policy required advance notice of any settlement that may affect the insurance company’s liability. It was undisputed that the plaintiff did not give the defendant insurance company advance notice.