The Federal Judge in this case was made aware of Florida State Law that there is no claim or cause of action for First-Party Bad Faith outside of the Florida Bad Faith Statute: Download Arlen House East Condominium Ass'n v. QBE Insurance (Europe) Ltd. (S.D. Fla. Opinion Filed Sept. 30, 2008). "However, a cause of action for breach of the implied warranty of good faith and fair dealing is separate and distinct from bad faith claims." Download Arlen House East Condominium Ass'n v. QBE Insurance (Europe) Ltd. (S.D. Fla. Opinion Filed Sept. 30, 2008), attached slipsheet official opinion at 3.
Just to be on the safe side, however, the Federal Judge in this case ruled that the Policyholder "shall not be allowed to recover any extra-contractual damages" under its alleged cause of action for breach of the implied warranty of Good Faith and Fair Dealing. The Policyholder in that case would "be limited to damages stemming from any breach of the insurance contract and attorney's fees, if appropriate. This limitation shall ensure that [the Policyholder] will not sneak any bad faith claim or damages by dressing them in breach of implied warranty clothing." Download Arlen House East Condominium Ass'n v. QBE Insurance (Europe) Ltd. (S.D. Fla. Opinion Filed Sept. 30, 2008), attached slipsheet official opinion at 4.
The Online Docket of this case reveals that it has been dismissed with prejudice pursuant to stipulation of settlement.
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