Rhode Island Supreme Court Holds Insurance Company Owes No Duty to Third Party

In 2002, Eric Stricklett drove a vehicle which struck and injured eleven-year-old Scott Alves. Alves’s parents provided Stricklett’s insurer, Summit Insurance Company, with Alves’s medical records but told them the child continued to undergo medical treatment for his injuries and they had not received his medical bills. They did submit the medical bills to Summit a short time later. In March 2003, Summit informed the Alveses their investigation showed no fault on the part of Stricklett for the accident and they would make no offers. For eight years the two parties did not communicate further about the claim. In 2011, the Alveses informed Summit of their plans to proceed with a lawsuit against Stricklett. The case proceeded to the Rhode Island Supreme Court which agreed with a lower court that Summit was “not required to pay all pre-judgment interest that has accrued on the action” because it had acted appropriately under the circumstances. Read the full case and why this state Supreme Court held Summit owed no duty to the Alveses here.