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Monday, November 09, 2020

New Opinion on Prejudgment Interest in Uninsured Motorist Cases: Propriety of Prejudgment Interest to Be Determined by the Trial Court on Remand

The Tennessee Court of Appeals recently released its opinion in Lewis v. State Farm, No. W2019-01493-COA-R3-CV (Tenn. Ct. App. Nov. 5, 2020).  The syllabus from the slip opinion reads:
Appellant was injured in an automobile accident, and a jury found that an unknown motorist was 100% at fault and awarded damages in favor of Appellant. Thereafter, the trial court denied Appellant prejudgment interest on its finding that Appellant’s uninsured automobile insurance policy with Appellee State Farm Mutual Automobile Insurance Company precludes an award of prejudgment interest. We conclude that the policy language “all damages” is sufficiently broad to include prejudgment interest. However, because the award of prejudgment interest is an equitable consideration within the discretion of the trial court, we decline to address Appellant’s issue concerning whether prejudgment interest is necessary and equitable in this case. This question is remanded to the trial court. Vacated and remanded.
Here is a link to the slip opinion:

NOTE: This opinion offers a good analysis of prejudgment interest in a uninsured-motorist case.  

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