Hartford Accident & Indemnity Co. v. Superior Court

In Hartford Accident & Indemnity Co. v. Superior Court (1995) 37 Cal. App. 4th 1174, a developer had an action for indemnity against a chimney builder for defective work, in which the defendant's liability insurer declined the defense. The trial court confirmed the good faith of a settlement between the developer and the defendant, whereby the settlement figure was for over $ 7 million, the developer agreed not to execute against the defendant for more than $ 12,500, and the defendant assigned its rights against its insurer to the developer and agreed to cooperate with the developer in pursuing the claims against the insurer. (Id. at p. 1177.) The appellate court reversed, holding section 877.6 was inapplicable because the action involved only one tortfeasor/obligor; the insurer was not a party to the underlying action, a joint tortfeasor or a co-obligor on a contract debt. (37 Cal. App. 4th at p. 1178.)