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Judge Rules Allstate Guilty of Abuse of Litigation Process

A New Mexico Judge has found Allstate Insurance Company guilty of malicious abuse of process. The finding was in, Martinez et. al. v. Allstate Insurance Company, No. D-0101-CV-200400963 filed in the First Judicial District Court (County of Santa Fe) in New Mexico. During the bench ruling The Honorable Barbara J. Vigil stated:

"I find that Allstate has used the judicial process in New Mexico and with these Plaintiffs, the jury trial process and judicial proceedings, for each of the Plaintiffs with the primary motive to accomplish an illegitimate purpose and not intended by that process, and in a manner suggesting the wrongful use of the jury trial system; an attempt to delay or extort each of the Plaintiffs into accepting less than the full value of their benefits under their policy, their MFRA policies, providing coverage for their claims.

I also find that each of the Plaintiffs are entitled to compensatory damages for the Court's finding of malicious abuse of process..."

She also found that and that the plaintiffs were entitled to punitive damages as a result of Allstate's conduct. This is the same conduct that Allstate and many other insurers have used nationwide to improperly underpay claims, and take billions in improper profits from what should have been paid to policyholders.

If you are a lawyer interested in bringing abuse of process claims against Allstate or other insurers for the intentional denial, delay or requirement to litigate claims, read From Good Hands to Boxing Gloves. The book gives you an outline of how insurers profit by improperly forcing claimants to file litigation to get fair compensation.

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