Wisconsin

Featured
Narrowly Redrafted Complaint Still Covered Despite Partial Settlement

(Justices Posner, Flaum, and Manion issued an opinion reversing and remanding the decision of Judge Randa.)  The panel found that a liability insurer with an obligation to defend a third-party action against its policyholder was precluded from avoiding its defense obligation by paying the plaintiff in the third-party action to replead covered and potentially covered claims as non-covered claims. 

Read More →

CHOICE OF LAW

Choice of Law Admission of Extrinsic Evidence Insurer Allocation Pre-Tender FeesStatute of Limitations
Most significant relationship testFacts set forth in the pleadings aloneIf one claim is potentially covered, must defend entire suitNot recoverable6 years
State Farm Mut. Auto. Ins. Co. v. Gillette, 641 N.W.2d 662, 670-71, 676 (Wis. 2002)Fireman’s Fund Ins. Co. v. Bradley Corp., 660 N.W.2d 666, 673 (Wis. 2003)American Motorists Ins. Co. v. Trane Co., 544 F. Supp. 669, 692 (W.D. Wis. 1982) Towne Realty v. Zurich Ins. Co., 548 N.W.2d 64, 68 (Wis. 1996)(Wis. Stat. §§ 93.61, 893.43)
Pre-Judgment Interest Late Notice Public Policy Bar Independent CounselAtty's Fees/Decl. Relief Action
12%Notice-prejudiceBar to indemnity and defenseMay choose own counselRecoverable
(Wis. Stat. § 628.46)Fireman's Fund Ins. Co. v. Bradley Corp., 660 N.W.2d 666, 682-83 (Wis. 2003)Haessley v. Germantown Mut. Ins. Co., 569 N.W.2d 804, 809 (Wis. Ct. App. 1997)Marten Transport Ltd.v. Hartford Specialty Co., 533 N.W.2d 452, 461 n.3 (Wis. 1995)
Nowacki v. Federated Realty Grp., Inc., 36 F. Supp. 2d 1099 (E.D. Wis. 1999)		Wis. Stat. § 806.04(8)
DeChant v. Monarch Life Ins. Co., 547 N.W.2d 592 (Wis. 1996) (bad faith)
but see Gorton v. Hostak, Henzl & Bichler, 577 N.W.2d 617, 625 (Wis. 1998) (noting “limited and narrow” scope of the exceptions to the American Rule)