Opinion
No. 89-285.
October 10, 1989. Rehearing Denied December 14, 1989.
Appeal from the Circuit Court, Dade County, Mary Ann MacKenzie, J.
Alan J. Hodin, Miami, and Kenneth D. Fink, for appellant.
Canning Murray and C. Robert Murray, Miami, for appellee.
Before BASKIN, FERGUSON and COPE, JJ.
"When the insurance company has agreed to settle a disputed [automobile accident] case, it has, in effect, declined to defend its position in the pending suit. Thus, the payment of the claim is, indeed, the functional equivalent of a confession of judgment or a verdict in favor of the insured." Wollard v. Lloyd's Companies of Lloyd's, 439 So.2d 217, 218 (Fla. 1983); see also Fortune Ins. Co. v. Brito, 522 So.2d 1028 (Fla. 3d DCA 1988). The trial court has no discretion to deny a reasonable attorney's fee to the prevailing plaintiff where the insurance company first disputes the claim and then settles the case after a lawsuit is filed. § 627.428(1), Fla. Stat. (1987) (upon rendition of judgment against an insurer the trial court shall adjudge against the insurer and in favor of the insured or beneficiary a reasonable sum as attorney fees).
Reversed and remanded.