Opinion ID: 203566
Heading Depth: 1
Heading Rank: 4

Heading: Lack of a Written Settlement Offer

Text: Doe urges that, even if there was evidence sufficient for the jury to find that National Union made a $100,000 offer, evidence of a written offer of settlement, rather than a mere oral offer, is required under Mass. Gen. Laws ch. 93A, § 9(3). Doe contends that the district court erred in instructing the jury that a written offer of settlement was not required and that, because it is undisputed that National Union did not make a written offer of settlement to Doe, the district court also erred in denying Doe's motion for judgment as a matter of law. We conclude that Doe's argument rests on an improper construction of the statutory language. As discussed above, section 9(1) of Chapter 93A creates a private cause of action on behalf of [a]ny person ... who has been injured by another person's use or employment of any method, act or practice declared unlawful by a variety of statutory provisions, including clause (9) of section three of chapter one hundred and seventy-six D. Mass. Gen. Laws ch. 93A, § 9(1). Section 3(9) of Chapter 176D prohibits, among other things, an insurer's failure to effectuate prompt, fair and equitable settlements of claims in which liability has become reasonably clear. Mass. Gen. Laws ch. 176D § 3(9)(f). Thus, Doe's claim depends on proving a violation of Mass. Gen. Laws ch. 176D, § 3(9)(f), the text of which speaks only to efforts to effectuate ... settlement[] and does not distinguish between written and oral offers of settlement. Id. Mass. Gen. Laws ch. 176D, § 3(9)(f) imposes no requirement of a writing. Doe argues, however, that Chapter 93A itself, and in particular section 9(3) requires a written settlement offer. But section 9(3) simply establishes a procedure to resolve claims under Chapter 93A, by requiring a plaintiff to file a written demand before bringing such a claim and allowing a defendant to avoid punitive damages by providing a reasonable written settlement offer in response. Section 9(3) provides in relevant part: At least thirty days prior to the filing of any such action, a written demand for relief, identifying the claimant and reasonably describing the unfair or deceptive act or practice relied upon and the injury suffered, shall be mailed or delivered to any prospective respondent. Any person receiving such a demand for relief who, within thirty days of the mailing or delivery of the demand for relief, makes a written tender of settlement which is rejected by the claimant may, in any subsequent action, file the written tender and an affidavit concerning its rejection and thereby limit any recovery to the relief tendered if the court finds that the relief tendered was reasonable in relation to the injury actually suffered by the petitioner. Mass. Gen. Laws ch. 93A, § 9(3). This language does not change the substantive requirements of Mass. Gen. Laws ch. 176D, § 3(9)(f) prohibiting unfair failure to settle an insurance claim. We conclude that the district court did not err in instructing the jury that National Union was not required to present evidence of a written settlement offer to comply with Mass. Gen. Laws ch. 176D, § 3(9)(f). In this case there can be no liability on Doe's Chapter 93A failure-to-settle claim if there has been no violation of Mass. Gen. Laws ch. 176D, § 3(9)(f).