John C. Bonnie (left) and Stephen J. Rapp of Weinberg, Wheeler, Hudgins, Gunn & Dial. (Courtesy photos) After Bumpy, 100-Year Ride, Ga. Legislature Taps Brakes on Direct-Action Litigation Against Liability Insurers of Motor Carriers
The Georgia direct-action statutes still provide a narrow exception to the otherwise strident rule that direct actions by a claimant against an allegedly liable insured cannot be maintained until there is a judgment against the insured, and Georgia, therefore, remains in a reported minority of just four states allowing direct actions in any context.
March 20, 2024 at 02:56 PM
10 minute read
Insurance Law
Revisions to Georgia's two direct-action statutes (O.C.G.A. Sections 40-1-112 and 40-2-140) will largely prevent a plaintiff from directly suing a motor carrier's liability insurer in the absence of a judgment, ending a nearly 100-year-old peculiarity in Georgia law that was at odds with the otherwise universal prohibition on direct-action claims against liability insurers.
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