Fire Insurance Exchange v. Bell case brief summary
643 N.E.2d 310 (Ind. 1994)
SYNOPSIS:
Defendants, insurer, attorney, and law firm appealed the denial of their motions for summary judgment in a plaintiff mother's action which alleged that the law firm and the attorney made fraudulent misrepresentations of insurance policy limits.
The court of appeals (Indiana) affirmed the decision that whether the mother's legal counsel had a right to rely on the alleged misrepresentations was a factual issue.
The law firm and attorney sought further review.
FACTS: The mother settled an insurance claim with the insurer which was based upon her legal counsel's reliance on the attorney's representation about the policy limits, which in fact turned out to have been much higher than represented to her.
HOLDING:
The court observed that an Indiana statute included a promise that the attorney's conduct was to have been consistent with the truth, and that the statute declared that an attorney who was dishonest, fraudulent, or made misrepresentations engaged in professional misconduct, as the basis for concluding that an attorney's representations were integral to the fair and efficient administration of justice.
ANALYSIS:
As a consequence, the mother's legal counsel had a right to rely on the attorney's misrepresentations irrespective of the fact that he had information which could have disclosed the insurance policy limits.
OUTCOME: The court vacated that part of the affirmance of the denial of the law firm and attorney's motions for summary judgment that held the mother's legal counsel's reliance created an issue of fact. The court held, as a legal matter, a legal counsel had a right to rely on the misrepresentations. The court then transferred the case for further proceedings in order to resolve which representations were made, the extent of the reliance on those misrepresentations, as well as all other related issues.
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643 N.E.2d 310 (Ind. 1994)
SYNOPSIS:
Defendants, insurer, attorney, and law firm appealed the denial of their motions for summary judgment in a plaintiff mother's action which alleged that the law firm and the attorney made fraudulent misrepresentations of insurance policy limits.
The court of appeals (Indiana) affirmed the decision that whether the mother's legal counsel had a right to rely on the alleged misrepresentations was a factual issue.
The law firm and attorney sought further review.
FACTS: The mother settled an insurance claim with the insurer which was based upon her legal counsel's reliance on the attorney's representation about the policy limits, which in fact turned out to have been much higher than represented to her.
HOLDING:
The court observed that an Indiana statute included a promise that the attorney's conduct was to have been consistent with the truth, and that the statute declared that an attorney who was dishonest, fraudulent, or made misrepresentations engaged in professional misconduct, as the basis for concluding that an attorney's representations were integral to the fair and efficient administration of justice.
ANALYSIS:
As a consequence, the mother's legal counsel had a right to rely on the attorney's misrepresentations irrespective of the fact that he had information which could have disclosed the insurance policy limits.
OUTCOME: The court vacated that part of the affirmance of the denial of the law firm and attorney's motions for summary judgment that held the mother's legal counsel's reliance created an issue of fact. The court held, as a legal matter, a legal counsel had a right to rely on the misrepresentations. The court then transferred the case for further proceedings in order to resolve which representations were made, the extent of the reliance on those misrepresentations, as well as all other related issues.
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Interested in learning how to get the top grades in your law school classes? Want to learn how to study smarter than your competition? Interested in transferring to a high ranked school?
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