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Implied Waiver of the Attorney-Client Privilege: Another Consequence of Bad Faith Claims

By Anthony J. Golowski II and Anthony M. Rainone

To outsiders of the legal community, no rule is more familiar than the attorney-client privilege. In simple terms, what a client tells his attorney is supposed to stay between the client and his attorney. It is this covenant of secrecy that prompts some (but certainly not all) clients to be honest and forthcoming with the facts underlying a particular claim. In turn, it allows the attorney to provide the most effective representation to his/her client. Yet, in the world of bad faith claims, courts have proved willing to find that an insurance company has impliedly waived the attorney-client privilege even in cases when the insurer has not argued that it relied upon the advice of counsel in denying the claim. See Steven Plitt, The Elastic Contours of the Attorney-Client Privilege and Waiver in the Context of Insurance Company Bad Faith: There's a Chill in the Air, 34 Seton Hall L. Rev. 513 (2004).

Implied Waiver

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