Couch v. Sentinel Insurance Company, Ltd/The Hartford
5:13-cv-00022
S.D. Miss.Mar 28, 2013Background
- Couch sues Sentinel for bad-faith denial of workers’ compensation benefits.
- Sentinel moves to dismiss under Rule 12(b)(6) for failure to exhaust administrative remedies.
- Court analyzes whether Mississippi law requires exhaustion before pursuing a bad-faith claim against a carrier.
- Cook v. Power & Light reaffirmed exhaustion; Walls v. Franklin Corp. established the long-standing rule that exhaustion is required.
- There was no prior Mississippi Workers’ Compensation Commission determination in this case; court grants dismissal without prejudice.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether exhaustion of administrative remedies is required for a bad-faith denial claim. | Couch argues exhaustion is not required. | Sentinel argues exhaustion is required. | Exhaustion required; claim dismissed without prejudice. |
Key Cases Cited
- Walls v. Franklin Corp., 797 So. 2d 973 (Miss. 2001) (exhaustion requirement for bad-faith claims in workers’ compensation)
- Cook v. Power & Light Co., 832 So. 2d 474 (Miss. 2002) (reaffirmed exhaustion rule; cannot pursue bad-faith claim absent Commission determination)
- Whitehead v. Zurich American Ins. Co., 348 F.3d 478 (5th Cir. 2003) (applied Walls exhaustion rule in federal context)
- AmFed Companies, LLC v. Jordan, 34 So. 3d 1177 (Miss. Ct. App. 2009) (noted but did not alter exhaustion requirement)