Michael Gibbs, a Minor, by and Through His Guardian Ad Litem, Tom Gibbs v. State Farm Mutual Insurance Company, Michael Gibbs, a Minor, by and Through His Guardian Ad Litem, Tom Gibbs, Plaintiff-Cross v. State Farm Mutual Insurance Company

544 F.2d 423 1 Fed. R. Evid. Serv. 566 Michael GIBBS, a minor, by and through his guardian ad litem, Tom Gibbs, Plaintiff-Appellee, v. STATE FARM MUTUAL INSURANCE COMPANY et al., Defendants-Appellants. Michael GIBBS, a minor, by and through his guardian ad litem, Tom Gibbs, Plaintiff-Cross Appellant, v. STATE FARM MUTUAL INSURANCE COMPANY et al., Defendants-Appellees. Nos. 74-2347, 74-2444. United States Court of Appeals, Ninth Circuit. Oct. 22, 1976. Jack Miller of Nebaker, Stoops, & Sharon, San Francisco, Cal., for Michael Gibbs. R. S. Cathcart, Leighton M. Bledsoe, of Bledsoe, Smith, Cathcart, Boyd, & Eliot, San Francisco, Cal., for State Farm Mut. Ins. Co. Before ELY and TRASK, Circuit Judges, and CHRISTENSEN, * District Judge. TRASK, Circuit Judge. 1 This is an appeal by an insurance company from a jury verdict and judgment awarded to an injured party for the company's bad faith failure to settle a claim within the limits of an insurance policy. A cross-appeal by the plaintiff asks for punitive damages and a shifting of the burden of proof in the event of a new trial. Jurisdiction of the district court was based upon 28 U.S.C. § 1332 (diversity of citizenship)…