Price v. State Farm Mut. Auto Ins. Co., 2012 Del. Super. LEXIS 444 (Super. Ct. Del. Sept. 13, 2012)

Plaintiff’s motion to amend complaint to add a bad faith claim was granted where defendant failed to show it would be prejudiced as a result.

NOTE: Opinion has not been released for publication. Until released, it is subject to revision or withdrawal.

 

Before the Superior Court of Delaware, New Castle was the plaintiff’s motion to amend his complaint to add a bad faith claim against the defendant in this uninsured motorist case. The plaintiff alleged that the defendant took advantage of his pro se status and made him settle the underlying claim for far less than it was worth. The defendant argued that the settlement was voluntary and that there was no evidence of bad faith. Because the court held that amending the complaint would not prejudice the defendant, the plaintiff’s motion to amend was granted. The underlying claim arose when the plaintiff was injured by a phantom vehicle while putting windshield wiper fluid into his car at a gas station. The vehicle sped away, and the plaintiff was left with knee injuries. The defendant offered to settle with the plaintiff for $50,000. The plaintiff deposited the money into his bank account and filed suit approximately a year later. The plaintiff filed a motion for leave to amend his complaint to add a claim for bad faith for settling the case for far less than it was worth. The court found that the defendant had failed to offer any evidence that allowing an amendment of the complaint would be prejudicial. Rather, the defendant relied on the argument that the parties had voluntarily settled the case. While the addition of the bad faith count broadened the case and may be an inconvenience to the insurer, it did not prejudice the defendant.

Case Law Alert - 1st Quarter 2013