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Simple English definitions for legal terms
direct action
Read a random definition: stint
A quick definition of direct action:
Direct action refers to a situation where someone sues an insurance company directly instead of suing the person who caused the harm and their insurance company. This can happen when someone wants to claim compensation from an insured person but decides to go after the insurer instead of the insured person.
A more thorough explanation:
Definition: Direct action refers to a legal action taken by an individual against an insurance company instead of the person who caused the harm and their insurance company.
For example, if someone is injured in a car accident caused by another driver, they can either sue the other driver's insurance company or their own insurance company. If they choose to sue their own insurance company, it is considered a direct action.
Another example of direct action is when a person sues an insured party's insurance company directly instead of going through the insured party. This can happen if the insured party is uncooperative or difficult to locate.
These examples illustrate how direct action allows individuals to seek compensation directly from an insurance company without having to involve the other party or their insurance company.