FAIRLY-DEBATABLE RULE

glossary / FAIRLY-DEBATABLE RULE

FAIRLY-DEBATABLE RULE

fairly-debatable rule.

1. Insurance. In some states, a test that requires an insurer to have a plausible basis for denying a claim to avoid bad-faith liability. [Cases: Insurance 3336. C.J.S. Insurance ¡ì¡ì 1163, 1342, 1576, 1578¨C1581.]

2. Zoning. A doctrine that bars a court from interfering with a zoning decision that is supported by substantial evidence, although it is one on which reasonable minds can differ. ? A court will not interfere with a decision supported by substantial evidence. [Cases: Zoning and Planning 602, 605, 703. C.J.S. Zoning and Land Planning ¡ì 273.]

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