Court: Kentucky Supreme Court
Opinion Date: June 17, 2021
Areas of Law: Insurance Law, Personal Injury
The Supreme Court reversed the opinion of the court of appeals reversing the decision of the circuit court granting summary judgment in favor of Defendant pursuant to Kentucky’s Unfair Claims Settlement Practices Act (UCSPA) and dismissing Plaintiff’s bad faith claim as barred by the statute of limitations, holding that the complaint was untimely.
Plaintiff was injured in a motor vehicle accident and settled his dram shop liability claim against Pure Country, LLC, an establishment insured by United States Liability Insurance Company (USLI). Several years after settling, Plaintiff brought a bad faith claim against USLI under the UCSPA. The circuit court concluded that the action was untimely and granted summary judgment for Defendant. The court of appeals reversed. The Supreme Court reversed, holding (1) the trial court correctly determined that the bad faith claim against USLI was barred by the statute of limitations; and (2) the USCPA claim was not saved by relation back to an earlier filed or proposed pleading.
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