WESTPORT INSURANCE CORPORATION ET AL. v. HOWARD TATE SOWELL WILSON LEATHERS & JOHNSON, PLCC ET AL. - Articles

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WESTPORT INSURANCE CORPORATION ET AL. v. HOWARD TATE SOWELL WILSON LEATHERS & JOHNSON, PLCC ET AL.

Posted by: Azya Thornton on Sep 18, 2024

Court: TN Court of Appeals

Attorneys 1: David Randolph Smith and Dominick R. Smith, Nashville, Tennessee, and Michael C. Bruck and Timothy J. McInerney, Chicago Illinois, for the appellants, Westport Insurance Corporation, and Brands Insurance Agency, Inc.

Attorneys 2: Lauren Paxton Roberts and Ashley Goins Alderson, Nashville, Tennessee, for the appellee, Howard, Tate, Sowell, Wilson, Leathers & Johnson, PLLC.

Judge(s): STAFFORD

Plaintiff insurance company is the insurance carrier for an insurance agency that was sued for negligence in five Tennessee lawsuits. After the underlying lawsuits were settled, the plaintiff, in its own name and on behalf of its insured, sued the law firm that represented the insured in the lawsuits. The plaintiff asserted a direct legal malpractice claim, a legal malpractice claim as subrogee of the insured, and a negligent misrepresentation claim. The trial court dismissed all claims. In particular, the trial court ruled that the plaintiff could not maintain a direct legal malpractice claim against the law firm due to the lack of attorney- client relationship and that the assignment of legal malpractice claims is prohibited in Tennessee. In the alternative, the trial court ruled that the plaintiff could not establish the damages element of its legal malpractice claims. The trial court further ruled that the plaintiff failed to establish a misrepresentation of existing or past fact. We affirm the trial court’s dismissal of the plaintiff’s direct legal malpractice action. As to the remainder of the trial court’s rulings, however, we reverse.

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