OTHER NEWS - Jan. 13, 1994

$28-Million Verdict Against Transamerica A Los Angeles jury hit the former Transamerica Insurance Co. with the bad-faith verdict for failing to make good on surety bonds after the contractor on a Malibu condominium project went bust. When the contractor abandoned the project and went out of business, Transamerica refused to pay for its completion. In the ensuing legal action, an arbitrator ruled that Transamerica had breached its bond contracts and awarded developer Talbot Partners $4,098,000 in damages and legal fees. Then, in a separate bad-faith trial, a Superior Court jury assessed the $28-million punitive judgment. Transamerica Insurance, formerly based in Woodland Hills, has since separated from Transamerica Corp., moved to New York and renamed itself TIG Holdings.