JUNE 2009 BAD FAITH CASES NO SEPARATE CAUSES OF ACTION FOR BREACH OF DUTY OF GOOD FAITH AND FAIR DEALING OR FIDUCIARY DUTY (Middle District)

In Bukofski v. USAA Casualty Insurance Company, the court held that under Pennsylvania law, the claim of violation of the duty of good faith and fair dealing merges with the insured’s breach of contract claim.  As to the insured’s effort to plead a breach of fiduciary duty, the court stated “The same duty of good faith that is grounded in the insurer’s fiduciary duty underlies the plaintiff’s claim of bad faith. To have a separate cause of action for breach of fiduciary duty would be redundant. Moreover, courts have held that Pennsylvania does not recognize separate causes of action for breach of fiduciary duty.”

Date of Decision:  June 9, 2009

Bukofski v. USAA Cas. Ins. Co., No. 3:08cv1779, 2009 U.S. Dist. LEXIS 48128 (M.D.Pa. June 9, 2009) (Munley, J.)