The Case
A 32-year-old motorcyclist was traveling through a downtown Richmond intersection when a rental car turned left directly in front of him. The driver failed to yield the right of way.
Surveillance footage from the intersection captured the collision. The video confirmed that the rental car failed to yield and that the motorcyclist had no opportunity to avoid the crash.
The impact was severe. The motorcyclist’s left foot sustained injuries so catastrophic that it required below-knee amputation. He lost his foot and lower leg permanently.
The plaintiff pursued a motor vehicle negligence claim based on the driver’s failure to yield.
The Defense
Investigation into the at-fault driver revealed multiple layers of potential insurance coverage. The driver had personal auto insurance, but the vehicle was a rental car, which often carries additional coverage. Further investigation showed that the driver was employed by a government contractor and had been using the rental car in connection with work duties.
This raised the question of whether the employer could be held liable under a theory of scope of employment—meaning the driver was acting within the course and scope of their job duties at the time of the crash.
Scope of employment disputes are common in cases where an employee causes a crash while using a vehicle that may or may not have been for work purposes. Employers and their insurers typically argue that the employee was on a personal errand or otherwise outside the scope of employment to avoid vicarious liability.
The Resolution
After motion practice addressing the scope of employment issue, the plaintiff’s attorney made a time-limited demand to the employer’s commercial insurance carrier. A time-limited demand gives the insurer a short window—often 30 days or less—to accept the policy limits or risk a bad faith claim if the case proceeds and results in a judgment exceeding the policy.
The commercial carrier tendered its policy limits. Combined with other available coverage, the total settlement reached $6,260,000.
With structured settlement annuities—financial products that provide guaranteed future payments—the plaintiff will receive a total value exceeding $7,000,000 over his lifetime.
Why These Cases Matter
Amputation is a life-altering, permanent injury. Losing a foot and lower leg affects mobility, balance, independence, employability, and self-image. Prosthetics require maintenance, replacement, and ongoing costs for the rest of the person’s life. Many activities become difficult or impossible.
For a 32-year-old, an amputation means facing decades of challenges, medical expenses, and limitations. Compensation must account not just for current losses but for a lifetime of impact.
Thorough investigation can uncover insurance coverage that is not immediately obvious. Rental car agreements, employer policies, and umbrella coverage can all provide additional sources of recovery. Many attorneys stop after identifying the driver’s personal policy. Comprehensive investigation continues until all potential coverage is found.
Video evidence is invaluable in intersection collision cases. Surveillance footage eliminates disputes about right of way, traffic signals, and fault. It provides objective proof that can pressure insurers to make fair offers.
Time-limited demands are a powerful tool when liability is clear and coverage is identified. They force insurers to make quick decisions and create bad faith exposure if they reject a reasonable demand and the case later exceeds the policy limits at trial.
Structured settlements can significantly increase the total value received by a plaintiff, particularly in catastrophic injury cases involving young victims who will need lifetime care and income replacement.
If you or a family member suffered a catastrophic injury such as amputation in a motorcycle or vehicle collision, contact us to discuss your case. We conduct thorough investigations to identify all available coverage and handle catastrophic injury cases on a contingency basis—there is no fee unless we recover compensation for you.