Respondent insured prevailed in a suit against appellant insurer for breach of contract and tortious breach of the covenant of good faith and fair dealing, and the instant court affirmed the judgment on appeal. The Superior Court of Los Angeles County (California) awarded respondent $ 152,274.30 in attorney’s fees incurred for handling the appeal, and appellant sought review of that order.
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Overview
Respondent insured prevailed in a suit against appellant insurer for breach of contract and tortious breach of the covenant of good faith and fair dealing, and the instant court affirmed the judgment on appeal. The trial court awarded respondent $ 152,274.30 in attorney’s fees incurred for handling the appeal, and appellant sought review of that order. The court of appeal reversed and remanded. Respondent was not entitled to recover his attorney fees incurred for the prosecution of his tort claims in the trial court, but only those fees incurred in pursuit of the benefits due under the contract with appellant. Similarly, respondent was entitled to be made whole only for the harm he suffered by reason of appellant’s tortious conduct in denying benefits due under the insurance policy. The prosecution of an appeal from an adverse judgment was not tortious conduct.
Outcome
The court reversed and remanded. Respondent insured was only entitled to recover his attorney fees incurred in pursuit of the benefits due under the contract with appellant insurer, and not those incurred for the prosecution of his tort claims in the trial court or for appellant’s unsuccessful appeal. The prosecution of an appeal from an adverse judgment was not compensable tortious conduct.