Court Denies Allstate’s Attempt to Overturn Crash Lawsuit Verdict

The Supreme Court of Texas has turned down Allstate Insurance’s attempt to overturn a jury verdict related to underinsured motorist benefits.

In a 5-4 decision, the high court upheld a $95,000 Bexar County jury verdict for Daniel Wes Irwin, which ordered Allstate to pay Irwin the full $50,000 in underinsured motorist benefits allowed by his policy to cover his injuries from a 2016 crash caused by another driver.

The verdict also ordered the insurer to pay for court costs and $45,540 in attorney fees.

The court’s majority maintained that Irwin properly brought his claim against Allstate under the Uniform Declaratory Judgment Act (UDJA), finding that Irwin was precluded from suing the insurer directly for the collision, or from filing a breach of contract suit, since no breach had occurred.

‘Either party to a written contract may seek declaratory relief if there is a question regarding rights, status, or other legal relations arising under it,’ wrote Justice John Phillip Devine for the majority vote.