SWIFT SETTLES WITH INJURED MOTORIST
Major truckload carrier Swift Transportation Co. Inc. said it would pay $6.25 million to settle a civil lawsuit by a motorist involved in an accident with one of the company's tractor trailers.
Swift is liable for the expense because its umbrella policy limits were lower at the time of the accident than normal and exceeded its coverage by $6.25 million. The company will adjust its fourth-quarter results to account for the new expense, but said the move would not materially effect its financial position. Swift earlier this month reported fourth-quarter operating income of $123.4 million.
The settlement is at least the second multi-million dollar payout involving a Swift truck in recent months. Late last year an Arizona court brought an $11 million verdict against the company. Swift eventually resolved a dispute with its insurance company about whether $4 million of punitive damages were covered under its policy.