Diminished Value Damages
Arbitration Forums, Inc. (AF), recently conducted an analysis of arbitration filings that sought diminished value (DV) damages. Filings reviewed fell into three categories:
- DV sought by insurer members that had paid damages pursuant to its policy coverage.
- DV sought by self-insured members that own a vehicle fleet and incurred the damages.
- DV sought by self-insured members that lease a vehicle fleet and incurred the damages.
We have updated online resources that touch on diminished value to further clarify AF’s position on arbitration’s jurisdiction over these damages. Specifically, page 8 of the Reference Guide to AF’s Agreements and Rules
, the “When Damages Are in Dispute, Don’t Panic
” arbitrator resource, and page 21 of the Guide for Arbitrators
Article published in: February 2022 E-Bulletin