Missouri Court of Appeals, Western District / Dec 8, 2020
Allstate Fire and Casualty Insurance Company vs. Philip Stratman
Philip Stratman appealed the trial court's judgment applying Kansas law to his cross-claim against Allstate Fire & Casualty Insurance Company for bad faith refusal to settle, and granting judgment on the pleadings and summary judgment in favor of Allstate. The appellate court reversed, holding that the insurance policy's choice-of-law provision for covered losses outside Kansas applied to Stratman's bad faith claim. The court further determined that a bad faith refusal to settle claim is a tort, requiring a Restatement (Second) of Conflict of Laws § 145 analysis, and found that genuine issues of material fact precluded summary judgment under this analysis. The case was remanded for further proceedings consistent with the opinion.