Opinion ID: 1700175
Heading Depth: 1
Heading Rank: 4

Heading: issues

Text: On notice of review, Ewalts argue that the trial court erred by refusing to award them attorney fees pursuant to SDCL 58-12-3. The statute states that if there is a vexatious or unreasonable refusal by an insurance company to pay the full amount of a loss, the trial court shall allow the plaintiff a reasonable sum as attorney fees. Whether the refusal to pay is vexatious or without reasonable cause is a question of fact. This court will not reverse unless the decision of the trial court is clearly erroneous. Johnson v. Skelly Oil Co., 359 N.W.2d 130 (S.D.1984); Ranger Ins. Co. v. Macy, 88 S.D. 674, 227 N.W.2d 426 (1975). After examining the record, we agree with the trial court that Employer had reasonable cause to defend the action brought by Ewalts. Therefore, the trial court's findings on this issue are not clearly erroneous. The judgment is affirmed in part, reversed in part, and remanded.