The United States Court of Appeals for the Seventh Circuit affirmed a trial court's dismissal of a lawsuit against our client, an insurer that issued an umbrella liability policy covering a municipality and its detectives, alleging bad faith and failure to settle. Kevin Fox v. American Alternative Insurance Corporation, Case No. 13-1290 (7th Cir.). Certain detectives assigned their rights under the umbrella policy to a claimant who sued them for wrongful arrest and prosecution. The claimant agreed not to seek recovery of punitive damages awarded against the detectives in exchange for assignment of their rights under the umbrella policy. The claimant then filed a bad faith claim against the firm's client, seeking as damages the amount of punitive damages awarded against the detectives. BatesCarey LLP moved to dismiss the claimant's lawsuit, arguing that its client did not breach any duty and the claimant's lawsuit was a back-door attempt to recover punitive damages that were not covered by the umbrella policy. The federal trial court granted BatesCarey LLP's motion to dismiss, and the Seventh Circuit affirmed the dismissal. Robert J. Bates, Jr. represented the client at the trial court and on appeal.