American Insurance Association v. Kentucky Bar Association

917 S.W.2d 568 (1996)

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American Insurance Association v. Kentucky Bar Association

Kentucky Supreme Court
917 S.W.2d 568 (1996)

  • Written by Sharon Feldman, JD

Facts

American Insurance Association and others (collectively, American Insurance) (plaintiffs) moved for review of an ethics opinion issued by the Kentucky Bar Association (defendant) prohibiting a lawyer from entering into a contract with an insurer in which the lawyer agreed to do all of the insurer’s defense work for a set fee (E-368). State Farm Mutual Automobile Insurance Company and State Farm Fire and Casualty Company (State Farm) (plaintiffs) requested review of an ethics opinion that prohibited insurance companies from using in-house salaried attorneys to provide defense services under the insurers’ policies of insurance (U-36). The actions were consolidated for review by the Kentucky Supreme Court.

Rule of Law

Issue

Holding and Reasoning (Stumbo, J.)

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