Stanford

Stanford v. General Insurance Company of America

Good Law
United States District Court, Northern District of CaliforniaJanuary 7, 20213:20-cv-06382California923 words

Opinion

Trial Court Opinion

UNITED STATES DISTRICT COURT

NORTHERN DISTRICT OF CALIFORNIA

ATHENA STANFORD, Case No. 20-cv-06382-VC

Plaintiff,

ORDER GRANTING IN PART AND

v. DENYING IN PART DEFENDANT'S

MOTION TO DISMISS

GENERAL INSURANCE COMPANY OF

AMERICA, Re: Dkt. No. 28 Defendant.

General Insurance’s motion to dismiss is granted in part and denied in part. With respect to the claims that are dismissed, Stanford is granted leave to amend only the intentional infliction of emotional distress claim. 1. Stanford’s claims for negligence and negligent infliction of emotional distress are dismissed with prejudice. The negligence claim is barred by the economic loss rule, which, broadly speaking, prevents a plaintiff whose action stems from a breach of contract from recovering tort damages in addition to contract damages. See Robinson Helicopter Co., Inc. v. Dana Corp., 34 Cal. 4th 979, 988-89 (2004). In the insurance context, plaintiffs can recover tort damages for breach of the covenant of good faith and fair dealing in addition to contract damages for breach of the insurance contract. Id. at 989-990. A plaintiff claiming that an…

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