This bad-faith litigation resulted in a verdict of $7.5 million against the Defendant insurance company. In the underlying action, AIG was the primary insurer for the manufacturer. The CNA Insurance Company wrote the next nine million dollars in excess coverage. Before the first Akers product-liability trial, Attorney Collins offered to settle the case within the various limits of coverage. CNA Insurance was willing to pay part of its excess policy to settle the claim, but it could not get National Union to pay the first layer of coverage. Joe Frentzen, Regional AIG adjuster, asked the company to pay the policy limits. They would not. Akers v. Challenge Equipment took two months to try in the courtroom before the jury. Later, Gabor Nyary, a CNA Home Office Adjuster out of Chicago, sat through the Akers trial. During discovery in the Akers case #2, the CNA file was subpoenaed. The following quote was found:

“Defense attorney is ‘up to his ass in alligators’. Plaintiff's lawyer is one of the ‘best’ in Santa Clara County. Will probably be the best in the State in a couple of years. He is known as a tough negotiator who is always prepared.”


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