Metropolitan Business Management v. Allstate Insurance Company

MEMORANDUM

Plaintiffs-Appellants-Cross-Appellees Metropolitan Business Management, Inc. (“MBM”) and John Khaki have appealed the district court’s orders denying their request for attorney’s fees pursuant to Brandt v. Superior Court, 37 Cal.3d 813 , 210 Cal.Rptr. 211 , 693 P.2d 796 (1985), and reducing their award of punitive damages. Defendant-Appellee-Cross-Appellant Allstate Insurance Company seeks reversal and entry of judgment in its favor. The district court’s orders followed a jury verdict in favor of MBM and Khaki on their breach of contract and bad faith claims. The district court treated the jury’s verdict as advisory on MBM and Khaki’s declaratory judgment claim, which the court resolved in favor of MBM and Khaki. See Fed.R.Civ.P. 39(c). We have jurisdiction under 28 U.S.C. § 1291 , and we affirm.

The district court did not err in denying Allstate’s motions for judgment as a matter of law. We review the district court’s denial of these motions de novo, viewing the evidence in the light most favorable to MBM and Khaki and drawing all reasonable inferences in their favor, and may overturn the rulings only if there was no legally sufficient basis for a reasonable jury to…