The city then filed a cross-complaint against DSI, RLI and several other contractors and their insurers, asserting claims including breach of contract, declaratory relief and bad faith insurance, among other claims. RLI pushed back with a delay, arguing that under a famous 1979 California Supreme Court decision – Royal Globe Ins. Company vs. Superior Court – A plaintiff cannot sue both the insurer and the insured in the same suit. The concern behind that rule is simple: If a jury knows the defendant has insurance, it may be more inclined to find liability or award more damages. California Code of Evidence Section 1155 exists to prevent exactly that kind of prejudice by keeping insurance evidence out of negligence trials.
California court allows excess insured to sue contractor and insurer simultaneously & more related News Here
