October 25th, 2013
Petitioner AIG appeals following jury verdict and award of $30 million in damages for Respondent Hess Oil ($5 million in compensatory damages and $25 million in punitive damages). The jury found that Hess Oil's claim was covered by its insurance policy with AIG; that AIG violated the UTPA; that AIG violated its duty of good faith and fair dealing; that AIG's conduct proximately caused damages to Hess Oil; and that AIG acted willfully, maliciously and intentionally. [Note: The jury actually awarded $53 million in punitive damages, but the court reduced that amount to $25 million by order entered May 1, 2012, giving rise to Hess Oil's appeal in 12-0719. Justice Davis disqualified. Senior Status Justice McHugh sitting by temporary assignment.
