Shea North, Inc. v. Ohio Cas. Ins. Co
In Shea North, Inc. v. Ohio Cas. Ins. Co., 115 Ariz. 296, 298, 564 P.2d 1263, 1265 (App. 1977), the insurer admitted coverage and paid the insured for part of the amount it claimed.
The insurer claimed that it had paid the claim in full, while the insured claimed that the "payment was represented to be interim in nature . . . ." Id.
The Court held that the insured had created a question of fact as to whether it reasonably believed it would receive full payment "without the necessity of resorting to the courts and thus reasonably delayed bringing suit until after the limitation period had expired. . . ." Id.