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Connolly v. Service Lloyds Insurance Company9/7/1995
September 7, 1995
MEMORANDUM TO CLERK
You are directed to make the following corrections in the Opinion dated September 7, 1995:
On page 15, please change the designation of the Opinion from "Do Not Publish" to "Publish."
You will give notice of these corrections in the original Opinion by sending a copy of the corrected pages accompanied by this memorandum to all interested parties who received a copy of the original Opinion.
Entered this the 14th day of November, 1995.
OPINION
This is an appeal from a summary judgement rendered by the 136th Judicial District Court in and for Jefferson County, Texas, favoring Service Lloyds Insurance Company, appellee herein.
Appellant, Mr. Thomas Connolly, filed the instant lawsuit in 1990, alleging various extra-contractual bad faith claims against Service Lloyds based upon appellee's alleged delay in authorizing a third back surgery pursuant to a workers' compensation compromise settlement agreement. Service Lloyds moved for summary judgement on Mr. Connolly's extra-contractual claims in 1991. In support of its motion for summary judgment, Service Lloyds set forth that its actions were based upon Mr. Connolly's objective medical test results and the opinions of two medical experts which indicated a third back surgery might not help Mr. Connolly and could make his condition worse. The trial court granted Service Lloyds' first motion for summary judgment.
Mr. Connolly appealed the trial court's summary judgement in 1992 to this Court. We subsequently reversed the trial court's summary judgment on the ground that the judgement encompassed claims not addressed in Service Lloyds' motion for summary judgment. On remand, and after further discovery, Service Lloyds filed another motion for summary judgment. This motion, the granting of which is presently before this Court, encompassed all of Connolly's claims. The trial court again concluded that Service Lloyds was entitled to summary judgment regarding all of Connolly's extra-contractual damage claims. The trial court entered a partial summary judgement favoring Service Lloyds on August 13, 1993.
The trial court subsequently scheduled Mr. Connolly's breach of contract claim for trial on January 3, 1994. Mr. Connolly then abandoned his breach of contract claim, the claim from which all of his extra-contractual bad faith claims stemmed, making the trial court's judgment on his bad faith claims final.
Factually, on or about September 18, 1985, Mr. Connolly allegedly sustained a back injury while employed at Premier Pontiac in Beaumont, Texas. Mr. Connolly sustained a previous injury to his back in 1984. Service Lloyds questioned whether Mr. Connolly was actually injured on the job or whether his physical problems originated while he was engaged in recreational activities at home over a Labor Day weekend.
Regardless of Service Lloyds' questioning the on-the-job nature of Mr. Connolly's injuries, on December 23, 1987, the parties entered into a release and settlement agreement whereby Mr. Connolly released Service Lloyds from any and all claims related in any way to his alleged on-the-job injury. Mr. Connolly was represented by counsel at the time of this settlement agreement. Pursuant to the judgement and release approved by the Court on January 12, 1988, Mr. Connolly recovered judgment against Service Lloyds in the sum of $27,713.44 in full satisfaction of any and all claims against appellee. The settlement provided that Service Lloyds was obligated to pay for Mr. Connolly's reasonable and necessary medical treatment as provided in Article 8306 Sections 7 and 7b of the Tex
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