Cross-Complaint Against Insurance Companies Former Lawyer
In California State Auto. Assn. Inter-Ins. Bureau v. Bales (1990) 221 Cal. App. 3d 227 270 Cal. Rptr. 421, an insured sued his insurer for bad faith and the insurer, in turn, cross-complained against the insured's former lawyer for equitable indemnity.
Division Three of the First District affirmed an order dismissing the cross-complaint, explaining that this result does not deprive the insurer of a defense based on the attorney's conduct.
"The insurer may assert the lawyer's negligence as an affirmative defense to liability and has in fact done so . . . ." (Id. at p. 231.)