It takes a nimble insurer to navigate around the landmines created by a consent judgment. This issue explores the challenges presented when a plaintiff and a defendant settle a claim, yet they agree that the plaintiff will only attempt to collect money from the defendant’s insurance carrier. The assignment of a “bad faith” claim from the defendant to the plaintiff further complicates an insurer’s ability to successfully litigate the matter.

A thoughtful and well-reasoned strategy is a prerequisite for an insurer. Consulting counsel experienced with the complexities of consent judgments is an important first step. While the articles presented herein do not address every possible issue related to consent judgments, they outline important legal concepts and provide helpful insight.