Marc Feldman v. Allstate Insurance Company Vicki Weed

Marc Feldman appeals the district court’s grant of summary judgment in favor of Allstate Insurance Company. The district court admitted, over Feldman’s objection, testimony by his former wife, as well as taped conversations recorded in violation of California law. Based in part on this evidence, the district court held that Allstate had not breached the implied covenant of good faith and fair dealing, and that Feldman was entitled to neither declaratory relief nor damages.

We have jurisdiction pursuant to 28 U.S.C. § 1291 . We REVERSE the district court’s decision to admit the illegally-recorded conversations into evidence, but nonetheless AFFIRM the district court’s grant of summary judgment on the issue of breach of the implied covenant of good faith and fair dealing. We REVERSE as to Feldman’s claim for declaratory relief, and REMAND for further proceedings consistent with this opinion.

Facts

Appellant Feldman purchased a standard homeowner’s insurance policy from Appellee Allstate Insurance Company, effective July 30, 1998. On February 22, 1999, Appellant’s home was burglarized.

That evening, Appellant telephoned his then-wife, Lauren Feldman, to discuss the burglary and…