Baker
Baker v. Mid-Century Insurance
Opinion
Opinion
Sonenshine, J.
George Baker appeals from dismissal of his action after the court sustained without leave to amend the demurrer of Mid-Century Insurance Company to Baker’s first amended complaint. Baker sought to hold Mid-Century liable for payment of attorney fees he incurred in prosecuting a personal injury action against Mid-Century’s insured, Bruce Thompson. He alleged the prior action was settled for (1) a stipulated judgment against Thompson, (2) payment to Baker of the $15,000 limits of the Mid-Century policy, (3) a reservation of Baker’s right to proceed agaipst Thompson to recover attorney fees pursuant to Code of Civil Procedure section 1021.4, and (4) an assignment to Baker of Thompson’s rights under the policy. He alleged that after the settlement, the court granted his section 1021.4 motion to recover $107,000 in attorney fees as costs. He claimed Mid-Century refused to honor its policy obligation to pay all costs of suit for which Thompson would be liable. He alleged the insurer’s refusal to pay constituted a breach of the express terms of the insurance contract and of the implied covenant of good faith and fair dealing.