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Insurance
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December 12, 2024
Insurer Seeks Exit From $1.35M Wire Loss Dispute
A broker accused of negligently causing a buyer to lose roughly $1.35 million in a business acquisition because of a wrong email address should receive no coverage, its insurer told an Arizona federal court, citing three separate exclusions in the broker's business owners liability policy.
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December 12, 2024
Wash. Justices OK Tax Break For Pharmacy Benefits Manager
A Washington pharmacy benefits manager is exempt from a state business tax on its services for Medicaid patients because its corporate sibling paid premium taxes in connection with the same services, the state's high court affirmed Thursday.
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December 12, 2024
Hartford Needn't Defend Contractor In Workplace Injury Suit
A Hartford unit has no duty to defend an electrical contractor against an employee's workplace injury suit, the New Jersey Supreme Court ruled Thursday, saying the underlying negligence- and intent-based claims don't fall within the scope of a workers' compensation and employers' liability policy.
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December 11, 2024
High Court Urged To Take Up Web Scraping Trade Secret Spat
An insurance agent is asking the U.S. Supreme Court to take up his challenge to an Eleventh Circuit ruling reviving software company Compulife's copyright claim against him, saying the high court should resolve an issue surrounding web scrapes of public information.
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December 11, 2024
Ex-Rep. TJ Cox Reaches Plea Deal On Fraud Charges
Former U.S. Rep. T.J. Cox reached a deal with California federal prosecutors and agreed to plead guilty to two charges and pay up to a $3.5 million fine over allegations he stole from his companies and took illegal campaign contributions, according to a plea agreement filed Wednesday.
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December 11, 2024
Law Firm Manager Gets Prison For Bribes In No-Fault Scam
A Manhattan federal judge on Wednesday hit a former law firm manager with a five-year prison sentence for paying $800,000 in bribes that fueled a $70 million no-fault automobile insurance fraud racket, saying his lawbreaking "was massive in scope."
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December 11, 2024
Embattled Texas Law Firm Heading To Mediation In Ch. 11
Troubled Houston law firm MMA Law said it will engage in mediation with litigation funders Equal Access Justice Fund LP and creditors to try to sort out issues pertaining to the firm's bankruptcy plan and other matters, days after Equal Access escaped a class action involving MMA Law.
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December 11, 2024
6th Circ. Probes Rationale For State Farm Worker's Firing
The Sixth Circuit grappled Wednesday with whether to reopen a former State Farm employee's suit alleging she was illegally fired after counseling a colleague about a disability accommodation complaint, with one judge questioning if the insurer had looked into the worker's claim that she faced selective discipline.
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December 11, 2024
Dutch Duo Beats Insurer's Claims Of Poor Greenhouse Design
Neither a Dutch greenhouse builder nor designer were responsible for the failure of a Michigan produce farm's $14.1 million greenhouse, a federal judge ruled, granting an early win to the pair in an insurer's subrogation suit seeking coverage for a storm loss.
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December 11, 2024
Insurer Seeks $900K For Conn. Dehumidifier Fire Damages
An insurer said it is entitled to recover over $900,000 from a dehumidifier manufacturer and its subsidiaries for costs the carrier incurred in covering a policyholder's house fire, telling a Connecticut federal court that the manufacturer's product was defective and unreasonably dangerous.
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December 11, 2024
Class Seeks Final OK Of Contentious $147.5M Insurance Deal
A class of insurance policyholders has urged a Connecticut federal judge to give his final blessing to a $147.5 million settlement resolving claims that two insurers overcharged when deducting costs from savings accounts attached to universal life insurance plans.
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December 11, 2024
Liberty Mutual Accused Of Stalling On $21M Loss Claims
The owners of a Massachusetts metal recycling plant that was severely damaged in an explosion last year say Liberty Mutual is attempting to avoid a $20.8 million payout in part by claiming that the facility, ordered razed by the city of Springfield, could have been repaired instead.
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December 11, 2024
6 Firms Guide Nippon Life's $8.2B Resolution Life Acquisition
Japanese life insurer Nippon Life said Wednesday that it has agreed to buy the remaining 77% stake in holding group Resolution Life that it does not already own for $8.2 billion.
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December 10, 2024
9th Circ Reverses Cert. In Widow's Allianz Life Insurance Suit
A unanimous Ninth Circuit panel on Tuesday reversed a lower court decision granting class certification in a case claiming that Allianz LIfe Insurance didn't follow statutorily required notice provisions before denying life insurance claims, saying the lead plaintiff wasn't an adequate representative for the proposed class, among other concerns.
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December 10, 2024
Ohio Justices Undo Paint-Maker's Lead Paint Coverage Win
Insurers for Sherwin-Williams Co. don't have to cover the paint-maker's portion of a $305 million settlement to abate lead paint in California homes, the Ohio Supreme Court ruled Tuesday, finding the payment does not qualify as damages under its commercial general liability policies.
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December 10, 2024
Insurer Eyes Dismissal Of Pot Co. Trulieve's Coverage Case
An insurance company that is a unit of Berkshire Hathaway is arguing that it has no obligation to defend Trulieve Inc., which is being sued over a cannabis worker's death, urging a federal judge to toss the lawsuit brought by the largest medical marijuana operator in Florida.
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December 10, 2024
NC Law Firm, Insurer Drop Phishing Coverage Row
A law firm specializing in real estate transactions and its cyber insurer told a North Carolina federal court Tuesday they've agreed to settle their dispute over coverage for a phishing scam the firm said caused it to unwittingly wire roughly $647,000 to the hacker's bank account.
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December 10, 2024
NC Addiction Clinic To Pay $825K To End Medicaid Fraud Suit
An addiction treatment and behavioral health clinic based in Raleigh will pay $825,000 to settle claims that it billed the North Carolina Medicaid program for medically unnecessary drug tests and treatment support programs, the state Attorney General's Office announced Tuesday.
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December 10, 2024
Nippon Life In Late Talks To Buy Resolution Life For $8.2B
Global insurer Resolution Life said Tuesday that it was in the "final stages of discussions" to sell the business to Nippon Life Insurance, reportedly for $8.2 billion.
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December 10, 2024
Wash. HOA Can't Get Early Win Bid In Water Damage Row
A homeowners association for a Seattle-area condominium complex can't yet prevail on its bad faith claims against its insurer over coverage for extensive water damage, a Washington federal court ruled, finding a material factual dispute over whether the association filed its coverage action within its policy's two-year suit-filing deadline.
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December 10, 2024
Insurer Seeks Exit From Firm's Bid For $2.8M Hack Coverage
A private equity firm's insurer told a Nebraska federal court it owed no coverage for what the firm said was a $2.83 million loss from a hack, maintaining the event didn't meet its policy's definitions of "loss" or claims and fell under a cyber theft exclusion.
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December 10, 2024
NY AG Refuses To Drop $489M Fraud Case Against Trump
The office of New York Attorney General Letitia James has announced it won't drop its civil financial fraud case against President-elect Donald Trump, two of his sons, his companies and their executives, saying his upcoming inauguration has no bearing on litigating his appeal of the $489 million judgment.
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December 10, 2024
School Board, Zurich Agree To End Sex Abuse Coverage Suit
A New Jersey school board has reached a deal with Zurich to resolve a dispute over coverage for three underlying suits alleging sexual abuse by a teacher in the 1960s and 1970s, according to a notice filed in federal court.
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December 10, 2024
Insurer QBE Settles Suit Over Failed $18M Wind Support Deal
Belgium-based insurer QBE Europe has settled a lawsuit accusing it of wasting available policy limits on pointless litigation rather than make a reasonable offer in a separate $18 million dispute over a failed wind support vessel deal, according to a Tuesday filing.
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December 09, 2024
Insurer Sues Golf Cart Seller Over Injury Suit Coverage
The insurer to a golf cart manufacturer and seller is asking a Florida federal court to declare that it does not have to defend the company from claims it contributed to a collision that seriously injured a minor.
Expert Analysis
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Mirror, Mirror On The Wall, Is My Counterclaim Bound To Fall?
A Pennsylvania federal court’s recent dismissal of the defendants’ counterclaims in Morgan v. Noss should remind attorneys to avoid the temptation to repackage a claim’s facts and law into a mirror-image counterclaim, as this approach will often result in a waste of time and resources, says Matthew Selmasska at Kaufman Dolowich.
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Insurance Lessons From 11th Circ. Ruling On Policy Grammar
The Eleventh Circuit's recent decision in ECB v. Chubb Insurance, holding that missing punctuation didn't change the clear meaning of a professional services policy, offers policyholder takeaways about the uncertainty that can arise when courts interpret insurance policy language based on obscure grammatical canons, say Hugh Lumpkin and Garrett Nemeroff at Reed Smith.
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6 Factors That Can Make For A 'Nuclear' Juror
Drawing from recent research that examines the rise in nuclear verdicts, Ken Broda-Bahm at Persuasion Strategies identifies a few juror characteristics most likely to matter in assessing case risk and preparing for jury selection — some of which are long-known, and others that are emerging post-pandemic.
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Series
Playing Dungeons & Dragons Makes Me A Better Lawyer
Playing Dungeons & Dragons – a tabletop role-playing game – helped pave the way for my legal career by providing me with foundational skills such as persuasion and team building, says Derrick Carman at Robins Kaplan.
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3 Leadership Practices For A More Supportive Firm Culture
Traditional leadership styles frequently amplify the inherent pressures of legal work, but a few simple, time-neutral strategies can strengthen the skills and confidence of employees and foster a more collaborative culture, while supporting individual growth and contribution to organizational goals, says Benjamin Grimes at BKG Leadership.
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Ore. Insurance Litigation Is Testing The Bounds After Moody
Despite the Oregon Supreme Court’s attempt to limit application of its 2023 decision in Moody v. Oregon Community Credit Union, which for the first time awarded extracontractual damages stemming from alleged negligent claims handling, recent litigation shows Oregon insurance companies face greater exposure, says Sarah Pozzi at Cozen O’Connor.
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E-Discovery Quarterly: Rulings On Hyperlinked Documents
Recent rulings show that counsel should engage in early discussions with clients regarding the potential of hyperlinked documents in electronically stored information, which will allow for more deliberate negotiation of any agreements regarding the scope of discovery, say attorneys at Sidley.
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Loper Bright Limits Federal Agencies' Ability To Alter Course
The U.S. Supreme Court's recent decision to dismantle Chevron deference also effectively overrules its 2005 decision in National Cable & Telecommunications Association v. Brand X, greatly diminishing agencies' ability to change regulatory course from one administration to the next, says Steven Gordon at Holland & Knight.
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Series
Teaching Scuba Diving Makes Me A Better Lawyer
As a master scuba instructor, I’ve learned how to prepare for the unexpected, overcome fears and practice patience, and each of these skills – among the many others I’ve developed – has profoundly enhanced my work as a lawyer, says Ron Raether at Troutman Pepper.
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Lawyers Can Take Action To Honor The Voting Rights Act
As the Voting Rights Act reaches its 59th anniversary Tuesday, it must urgently be reinforced against recent efforts to dismantle voter protections, and lawyers can pitch in immediately by volunteering and taking on pro bono work to directly help safeguard the right to vote, says Anna Chu at We The Action.
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What's In NYDFS Guidance On Use Of AI In Insurance
Matthew Gaul and Shlomo Potesky at Willkie summarize the New York Department of Financial Services' recently adopted circular letter on the use of artificial intelligence in insurance underwriting and pricing, and highlight the material changes made to it in response to comments on the draft circular letter.
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How To Grow Marketing, Biz Dev Teams In A Tight Market
Faced with fierce competition and rising operating costs, firms are feeling the pressure to build a well-oiled marketing and business development team that supports strategic priorities, but they’ll need to be flexible and creative given a tight talent market, says Ben Curle at Ambition.
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Unpacking HHS' Opinion On Cell Therapy Refund Programs
A recent advisory opinion from the U.S. Department of Health and Human Services, determining that a biopharma company's refund program for its cell therapy will not be penalized, indicates an encouraging willingness to engage, but the regulator's assumptions about the program's limited term warrant a closer look, says Mary Kohler at Kohler Health.
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Series
Rock Climbing Makes Me A Better Lawyer
Rock climbing requires problem-solving, focus, risk management and resilience, skills that are also invaluable assets in my role as a finance lawyer, says Mei Zhang at Haynes and Boone.
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Think Like A Lawyer: Dance The Legal Standard Two-Step
From rookie brief writers to Chief Justice John Roberts, lawyers should master the legal standard two-step — framing the governing standard at the outset, and clarifying why they meet that standard — which has benefits for both the drafter and reader, says Luke Andrews at Poole Huffman.