Medical Lien Management, Inc., v. Allstate Insurance Company, 2013COA88 (June 6, 2013)

“The other car collided with mine without giving warning of its intention.” (Anonymous). Here, MLM paid an accident victim’s medical bills in exchange for an assignment of settlement funds, if any. MLM gave notice of the assignment to the tortfeasor’s insurer Allstate, who then settled. Allstate paid the victim instead of MLM. MLM sued Allstate for breach of both the settlement contract and the assignment. The trial court dismissed MLM’s claims. The court of appeals reversed, holding: 1) personal injury claims may be validly assigned prior to settlement, as they were here; 2) the notice of assignment was sufficient and triggered Allstate’s duty to pay MLM, despite its lack of consent; and 3) because the victim had a claim against Allstate, MLM had a claim. Finally, the court rejected a request to apply the Federal pleading standards in Bell Atlantic v. Twombly. Dismissal reversed.

http://www.courts.state.co.us/Courts/Court_of_Appeals/Opinion/2013/12CA0691-PD.pdf

http://www.cobar.org/opinions/opinion.cfm?opinionid=8972&courtid=1

CERTIORARI GRANTED

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Filed under Contracts, Personal Injury, Proceedure, Torts

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