Implied Covenant of Good Faith and Fair Dealing

Posted on July 14, 2005 by Francis Pileggi

Though not strictly a case dealing with corporate or commercial law, the recent Delaware Supreme Court opinion in Dunlap v. State Farm Fire and Casualty Co.,download pdf file, reaffirmed the contract principle, often used in business cases, of the implied covenant of good faith and fair dealing. The court made clear that when applicable, this “duty” will continue to be enforced.