Law Firm Cannot Avoid Insurer Suit Over Fraud Probe Costs

Law360, London (April 26, 2021, 5:52 PM BST) -- A defunct law firm on Monday dropped its attempt to escape a suit brought against it by Chubb, AIG and other insurers to recover money they paid out after uncovering fraud, after a court said the bid had no merit.

Deputy Master John Linwood said in a High Court hearing that Nadeem Khan's application to have the insurers' £860,000 ($1.2 million) claim against him and his firm Richmond Law struck out was "bound to fail" and "wholly unarguable." The insurers are seeking to recover money they paid out to settle claims brought against Khan by mortgage providers he had represented and...

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