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DANBECK v. AMERICAN FAMILY MUT. INS. CO.

No. 99-1142.

245 Wis.2d 186 (2001)

2001 WI 91

629 N.W.2d 150

Dan DANBECK, Plaintiff-Respondent-Petitioner, v. AMERICAN FAMILY MUTUAL INSURANCE COMPANY, Defendant-Appellant.

Supreme Court of Wisconsin.

Decided July 6, 2001.

Attorney(s) appearing for the Case

For the plaintiff-respondent-petitioner there were briefs by Michael J. Luebke and Gingras, Cates & Luebke, S.C., Madison, and oral argument by Michael J. Luebke.

For the defendant-appellant there was a brief by Ward I. Richter, John M. Christenson and Bell, Gierhart & Moore, S.C., Madison, and oral argument by Ann E. Curtiss.

An amicus curiae brief was filed by Michael Riley and Atterbury & Riley, S.C., Madison, on behalf of the Wisconsin Academy of Trial Lawyers.

¶ 1. DIANE S. SYKES, J.

This case involves an insurance dispute and requires us to interpret language in an underinsured motorist (UIM) policy that obligates the UIM carrier to pay benefits to its insured only after the underinsured motorist's liability limits "have been exhausted by payment of judgements or settlements." The question is whether the policy's exhaustion requirement can be satisfied by a settlement with the underinsured motorist's insurer for less...

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