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Cleveland State University

Contracts

Contracts

Journal of Law and Health

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Nursing Home Contracts: Is It Time For Bad Faith To Come Out Of Retirement?, Charles A. Lattanzi Jan 1991

Nursing Home Contracts: Is It Time For Bad Faith To Come Out Of Retirement?, Charles A. Lattanzi

Journal of Law and Health

For certain types of contracts, the remedy for the breach of the implied duty of good faith and fair dealing has been found to lie in tort. Until the Supreme Court's ruling in Pilot Life Ins. Co. v. Dedeaux, courts were rapidly extending the application of the tort of bad faith breach of contract into areas beyond the traditionally accepted realm of insurance contracts. Most significant for the purposes of this note was the expansion into the area of health care services, specifically health maintenance organizations. Perhaps because of the chilling effect Pilot Life has had upon this form of …