Tuesday, September 1, 2026

LA County Sues State Farm Over Eaton and Palisades Fire Claims

County Supervisor Kathryn Barger, who represents Altadena and Pasadena, at the Monday, August 31, 2026 press conference announcing LA County’s lawsuit against State Farm. [LA County photo]

The complaint cites policyholders in Altadena, Pasadena and Pacific Palisades. County Counsel brought the case under California’s Unfair Competition Law and False Advertising Law, seeking restitution, injunctive relief, abatement of what it calls ongoing health hazards from inadequate testing and remediation, and civil penalties of up to $2,500 per violation.

The suit alleges false advertising, unreasonable delays, systematic underpayments, improper reassignment of adjusters, barriers to contacting and communicating with adjusters, refusal to pay additional living expenses, misrepresentations that discouraged claims, and illegal suppression of smoke damage claims.

“Wildfire survivors have already endured unimaginable loss; they should not have to fight their insurance company simply to receive the benefits they paid for and counted on,” said Supervisor Kathryn Barger, whose 5th District includes Altadena and Pasadena.

“We are committed to holding State Farm accountable and making sure claimants are treated fairly,” County Counsel Dawyn R. Harrison said.

State Farm rejected the county’s account. “State Farm General strongly disagrees with Los Angeles County’s characterization of our wildfire claims response,” spokesman Bob Devereux said. “We will review the lawsuit and respond through the appropriate legal process.” The company says it has paid more than $6.2 billion on wildfire claims, including approximately $1 billion for smoke-related damage, and closed about 78%.

The county says State Farm failed to substantially comply with its requests for documents. Devereux said the company cooperated fully with the state Department of Insurance, which in May reported 398 violations found in a review of 220 claims.

Need to Know: The case, filed Aug. 31 in Los Angeles Superior Court, is being prosecuted by County Counsel’s Affirmative Litigation and Consumer Protection Division alongside Consumer Watchdog and consumer protection attorney Christina Tusan. Eaton and Palisades policyholders can read the complaint and the county’s fact sheet online, or reach Assistant County Counsel Scott Kuhn at skuhn@counsel.lacounty.gov or (323) 719-9606.