Huntington Beach, CA, Tuesday, June 15, 2004 Leslie A. Kelly announced
today that Steven L. Krongold, Esq., BIENERT
& KRONGOLD, San Clemente, CA has filed a lawsuit
against THE HARTFORD CASUALTY INSURANCE COMPANY in the California Superior
Court, County of Orange, Central Justice Center, Santa Ana, CA. The complaint,
COMPLAINT FOR ENFORCEMENT OF JUDGMENT AGAINST INSURER UNDER INSURANCE CODE,
§11580; BREACH OF CONTRACT; BREACH OF IMPLIED COVENANT OF GOOD-FAITH AND
FAIR-DEALING; AND DECLARATORY RELIEF, was filed based on Hartford's refusal to
pay a Judgment awarded to Kelly in the amount $345,000 plus legal expense. It
is summarized as follows:
"This is a direct action by an injured third-party against an insurer to collect
a judgment covered by a liability policy issued in the State of California. The
defendant insurer refuses to pay the judgement based, in part, on a release
entered into with the original torfeasor/insured without notice to or consent of
the plaintiff. California law makes such release agreements unenforceable as
against the claimant who is considered a third-party beneficiary of the
insurance policy. Since the policy covers the claim, defendant should be ordered
to satisfy the judgment in full, plus accrued interest and reasonable
attorney's fees."
Kelly allges, among other things, "On or about May 17, 2004, and continuing
thereafter, HARTFORD further breached the implied covenant of good-faith and
fair-dealing by asserting coverage defenses in bad-faith and for an improper
purpose to deny Kelly the benefits of the Policy, to wit, payment of his
Judgment."
Kelly further alleges, "Kelly is informed and believes, and thereon alleges,
that the aforementioned acts of defendant HARTFORD were done willfully,
maliciously, with fraudulent intent and with deliberate disregard of the
rights, privilege and concerns of Kelly. Kelly is thus entitled to recover
punitive damages in an amount bearing a reasonable relationship both to the
actual amount of damages Kelly recovers and the general financial solvency of
defendant yet in a sufficient amount to punish and make an example of defendant
and to deter others from engaging in the same or similar conduct. ... "
Kelly's complaint has been assigned Case No. 04CC06714 and will be presided over
by Judge James M. Brooks, Dept. C12