Understanding the Miller v. Shugart Agreement: A Legal Overview

Definition & Meaning

The Miller v. Shugart agreement is a legal arrangement where an insured party agrees to a judgment in favor of a plaintiff. This agreement stipulates that the plaintiff can only collect the judgment amount from the insured's insurance policy and cannot pursue further recovery from the insured personally. This type of agreement originated from a Minnesota case, but it is recognized and utilized in various jurisdictions across the United States.

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Real-world examples

Here are a couple of examples of abatement:

Example 1: A driver involved in an accident agrees to a Miller v. Shugart agreement after a lawsuit is filed against them. They consent to a judgment of $100,000, which the plaintiff can only collect from the driver's insurance policy, not from the driver's personal assets.

Example 2: A property owner facing a lawsuit for damages due to a tenant's injury agrees to a similar settlement, ensuring that the plaintiff can only seek compensation from the property owner's liability insurance (hypothetical example).

State-by-state differences

Examples of state differences (not exhaustive):

State Notes
California Recognizes Miller v. Shugart agreements, often used in personal injury cases.
Florida Similar agreements are common, but specific procedural rules may apply.
New York Allows these agreements, but courts may scrutinize the terms closely.

This is not a complete list. State laws vary, and users should consult local rules for specific guidance.

What to do if this term applies to you

If you find yourself in a situation where a Miller v. Shugart agreement may be relevant, consider the following steps:

  • Consult with a legal professional to understand your rights and obligations.
  • Explore legal form templates on US Legal Forms to draft an agreement that suits your needs.
  • Ensure all terms are clearly documented and agreed upon by all parties involved.

For complex situations, seeking professional legal assistance is advisable.

Quick facts

Attribute Details
Typical Use Civil litigation, personal injury claims
Jurisdiction Varies by state
Protection Offered Limits recovery to insurance proceeds

Key takeaways

Frequently asked questions

It's a legal agreement where an insured consents to a judgment in favor of a plaintiff, limiting recovery to insurance proceeds.