Section 6.43 Covenant Not to Execute

• Library: Insurance Practice 2015

In Marshall v. Northern Assurance Co. of America, 854 S.W.2d 608 (Mo. App. W.D. 1993), the plaintiff sued the underlying tortfeasor and received a judgment in the amount of $45,000. The defendant driver’s insurance policy had a limit of $25,000 per person. Following the judgment, the plaintiff entered into a covenant not to garnish or execute against the other driver’s assets, limiting the defendant driver’s liability to his own liability policy. The plaintiff then sued the UIM carrier, Northern Assurance...