Perry Law, P.C. Attorney Stacy Thompson Wins Dismissal of Insurance Lawsuit Against GEICO


A Texas state judge has dismissed a lawsuit against GEICO Insurance after a woman sued the carrier over the sale of her husband’s Jeep, damaged in the car crash that killed him.

Ramona Smith filed a lawsuit against GEICO in state court after a federal judge dismissed her claims in the original lawsuit in 2015. Smith had claimed the carrier breached the covenant of good faith and fair dealing and violated the Texas Insurance Code. She also accused GEICO of destroying the Jeep without her knowledge. Perry Law attorney Stacy Thompson obtained a summary judgment in the federal lawsuit.

In 2017, Smith filed her case in the 123rd Judicial District Court in Shelby, Texas, against GEICO and R&M Towing and Recovery on the same claims with new causes of action, including breach of written contract, promissory estoppel, fraudulent misrepresentation, negligent misrepresentation, breach of oral contract, fraud and breach of fiduciary duty for selling the Jeep.

Attorney Stacy Thompson filed a summary judgment, arguing Smith’s actions were a result of forum shopping and piecemeal litigation and were barred due to res judicata and the single-action rule, because her claims had already been litigated in federal court.

On August 27, two years after Smith filed her lawsuit in state court, had amended her petition five times and submitted evidence to support her claims, the judge granted summary judgment and dismissed all claims against GEICO with prejudice.

The case is Ramona L. Smith, Individually and as Administrator of the Estate of Arthur Smith v. Government Employees Insurance Company and R&M Towing and Recovery, Cause No. 17CV33998, in the 123rd Judicial District Court in Shelby, Texas.