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Insurance
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April 09, 2025
AIG Unit Seeks $3.7M Clawback In Whistleblower Murder Row
A tree service company, subsidiary and certain former employees can't be covered in two civil suits alleging an employee was murdered for reporting the company's use of undocumented labor, an AIG unit told an Ohio federal court, seeking nearly $3.7 million in coverage reimbursement.
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April 09, 2025
Insurer Settles Suit Blaming Bank Consultant For Data Breach
National Union Fire Insurance Company of Pittsburgh has settled a suit accusing a Washington-based consultant of security lapses after the personal data of over 10,000 bank customers ended up online, according to new filings in Evergreen State court.
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April 09, 2025
Underwriters Owe $2.6M For Damaged Ship Loader, Co. Says
A seller of ship loaders said its underwriters owe it an additional $2.6 million for a piece of equipment that was damaged en route to Canada, telling a Washington federal court that the carriers have breached their obligations under a marine all-risk cargo policy.
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April 09, 2025
Claims Trimmed In Firm's Suit Over Sports Fraud Coverage
A Florida federal court tossed more than half the claims a law firm raised against an AIG unit for allegedly misleading them into representing a sports memorabilia collector in underlying civil and criminal fraud cases without payment, finding claims against the unit either premature, duplicative or insufficiently pled.
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April 09, 2025
Insurer, Flight School Agree Training Suit Isn't Covered
An insurer has no duty to defend or indemnify a flight school accused in an underlying suit of misrepresenting the education and training that students enrolled in a flight program would receive, according to a consent agreement approved by a North Carolina federal court.
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April 08, 2025
Town's Insurance Suit Unfrozen After $11M Civil Rights Deal
A previously paused lawsuit that East Haven, Connecticut, brought against its insurers has been referred for settlement negotiations after the town and former officials lost an underlying civil rights case over the politically motivated closure of a quarry and then reached an $11 million deal to end the underlying dispute.
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April 08, 2025
4th Circ. Won't Revisit Ambiguous Endorsement Ruling
The Fourth Circuit on Monday declined to review its ruling that a South Carolina district court erred by finding that an endorsement unambiguously applied to cap an aluminum supplier's insurance recovery for a fire loss at $10 million.
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April 08, 2025
4th Circ. Says Insurer Needn't Chip In For $9M Fatal Fire Deal
A Munich Re unit needn't contribute to The Travelers Indemnity Co.'s $9 million settlement of suits brought over a fatal apartment fire, the Fourth Circuit ruled Tuesday, saying the unit's policy issued to a North Carolina county's emergency services department did not also extend coverage to its 911 call center.
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April 08, 2025
Texas Court Upholds Jurisdiction Over Some Asbestos Claims
A Texas appellate court affirmed Tuesday that insurers involved in litigation brought by the trustee of a bankrupt Kentucky machine company seeking coverage in connection with asbestos-related injury litigation can't escape jurisdiction, but contradicted the lower court by denying jurisdiction over certain American insurers regarding non-Texas claims.
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April 08, 2025
MSP Recovery Sued For Docs In Del. After $33B SPAC Dispute
A stockholder of healthcare data analytics company MSP Recovery has demanded the company turn over books and records over allegations that it admitted to financial difficulties and federal investigations shortly after finalizing a $32.5 billion blank-check merger nearly three years ago.
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April 08, 2025
Machinery Co. Says Insurer Owes $12M For Fire Losses
An insurer owes a machinery company and its owner more than $12 million following a fire that destroyed construction materials, the pair alleged in a complaint removed to Oklahoma federal court, arguing negligence by the insurer and a broker ultimately led the company to bankruptcy.
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April 08, 2025
Design Co. Denied Exit From Hurricane Subrogation Suit
A design contractor facing a $4 million subrogation action over hurricane damage to commercial HVAC units at an Amazon sorting facility can't rely on notice requirements in Florida's construction defect law, Chapter 558, to argue the plaintiff insurers are statutorily barred from seeking reimbursement, a Florida federal court ruled.
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April 08, 2025
Key Witness Against Nadine Menendez Grilled Over Past Lies
A corrupt former New Jersey insurance broker testifying against Nadine Menendez during her trial on bribery charges admitted Tuesday to a decade of lying prior to his decision to cooperate against her and her husband, former U.S. Sen. Bob Menendez.
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April 08, 2025
Uber's Crash Coverage Bid 'Too Little, Too Late,' Insurer Says
An insurer said it has no duty to defend or indemnify Uber in five underlying personal injury suits, telling a New York federal court that the company's bid for coverage is "too little, too late" because the active negligence claims don't trigger coverage and the request was not timely.
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April 07, 2025
Pa. Supreme Court Snapshot: Electric Bills, Jock Tax
The Pennsylvania Supreme Court will open its three-day session in Pittsburgh Tuesday with arguments over how to weigh when a coworker or co-owner shares in an employer's immunity from lawsuits under the state's workers' compensation law, and if electricity providers can get additional services put on the utility bills drawn up by power distributors.
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April 07, 2025
9th Circ. Partially Reverses LA Port Co.'s Coverage Suit
The Ninth Circuit on Monday held that United National Insurance Company was obligated to defend a Los Angeles Port operator against pollution claims brought by the city, but said a district judge deprived the insurer of a jury trial on the operator's claimed defense costs due to the breach of contract.
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April 07, 2025
Insurers Lose Subrogation Suits Over Blackbaud Data Breach
Several insurers cannot recoup investigation and credit monitoring expenses they covered for their insureds following a 2020 ransomware attack against Blackbaud, a Delaware state court ruled, saying two suits by the carriers failed to allege insured-specific facts in order to adequately plead breach of contract claims against the software company.
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April 07, 2025
Agriculture Insurer Says Agent Error Cost It Fed. Reinsurance
A Texas insurance company has taken aim at its insurance agent, claiming that clerical errors cost the company over $1 million after applications for reinsurance were belatedly submitted to the U.S. Department of Agriculture's Federal Crop Insurance Corp. amid the COVID-19 pandemic.
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April 07, 2025
Insurer Seeks $300K For Damaged Crane Barge
An insurer told a California federal court it is owed $300,000 from the federal government and a California county for damages its insured's barge sustained when it struck a drawbridge because the government entities failed to raise the bridge after receiving a signal to do so.
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April 07, 2025
Insurer Settles Ga. Motel Shooting Coverage Suit
StarStone National Insurance Co. has settled a coverage dispute with a Georgia motel over whether the insurer was obliged to defend the establishment from a negligent security claim brought by the family of a man robbed and murdered on the premises five years ago, the company said Friday.
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April 07, 2025
Reinsurer Seeks Arbitration In Bermuda In Legionnaires' Row
A Michigan healthcare system's captive insurer turned to an improper venue to litigate coverage issues with its reinsurer over underlying Legionnaires' disease claims, the reinsurer told a Michigan federal court, saying the captive insurer's coverage claims must be sent to arbitration in Bermuda.
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April 07, 2025
Ex-Texas State Judge Joins Cozen O'Connor Insurance Team
Cozen O'Connor announced Monday that a former Texas state judge with nearly four decades of legal experience has joined the firm's Houston office as a global insurance member from Germer PLLC.
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April 07, 2025
Conn. High Court Snapshot: Atty's 'Double' ID Theft Damages
When it convenes for its next term, Connecticut's highest court will weigh whether an attorney whose identity was stolen can skirt a panel's ruling that he is not entitled to a "double recovery" of damages, and it will consider an insurance agent's responsibilities when a policyholder's coverage is canceled.
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April 04, 2025
Insurer's Policy Won't Cover General Contractor In Injury Suit
An Illinois federal judge has permanently tossed a construction company's bid for insurance coverage on an underlying injury suit under one of its subcontractor's policies, saying the injury suit doesn't include the kind of claim that would have triggered coverage.
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April 04, 2025
Pipe Cos. Settle $3M Cargo Damage Dispute With Insurer
A steel pipe importer and a distributor reached a settlement with an insurer in a $3 million dispute over cargo lost and damaged in transit from South Korea, according to a notice filed in a California federal court.
Expert Analysis
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Steering Clear Of US Sanctions While Paying Pirates Ransom
Maritime operators, insurers and financial institutions must exercise extreme caution when making ransom payments related to Somali piracy, as the payments could trigger primary and secondary sanctions enforcement by the Office of Foreign Assets Control, says Chelsea Ellis at LMD Trade Law.
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How To Create A Unique Jury Profile For Every Case
Instead of striking potential jurors based on broad stereotypes or gut feelings, trial attorneys should create case-specific risk profiles that address the political climate, the specific facts of the case and the venue in order to more precisely identify higher-risk jurors, says Ken Broda-Bahm at Persuasion Strategies.
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AG Watch: Texas Is Entering New Privacy Enforcement Era
The state of Texas' recent suit against Allstate is the culmination of a long-standing commitment to vigorously enforcing privacy laws in the state, and while still in the early stages, it offers several important insights for companies and privacy practitioners, says Paul Singer at Kelley Drye.
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6th Circ. Ruling Paves Path Out Of Loper Bright 'Twilight Zone'
The U.S. Supreme Court’s Loper Bright ruling created a twilight zone between express statutory delegations that trigger agency deference and implicit ones that do not, but the Sixth Circuit’s recent ruling in Moctezuma-Reyes v. Garland crafted a two-part test for resolving cases within this gray area, say attorneys at Wiley.
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What To Know About Insurance Coverage For Greenwashing
As the number of public and private lawsuits relating to greenwashing dramatically grows, risk managers of companies making environmental claims should look to several types of insurance for coverage in the event of a suit, say attorneys at Hunton.
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7 Tips For Associates To Thrive In Hybrid Work Environments
Excerpt from Practical Guidance
As the vast majority of law firms have embraced some type of hybrid work policy, associates should consider a few strategies to get the most out of both their in-person and remote workdays, says James Argionis at Cozen O’Connor.
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Series
Playing Beach Volleyball Makes Me A Better Lawyer
My commitment to beach volleyball has become integral to my performance as an attorney, with the sport continually reminding me that teamwork, perseverance, professionalism and stress management are essential to both undertakings, says Amy Drushal at Trenam.
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Opinion
IRS Should Revise Overbroad Microcaptive Regs
Rather than seeking to curtail use of congressionally sanctioned microcaptive insurance programs by imposing burdensome disclosure obligations, the Internal Revenue Service should revisit its recently finalized regulations and implement rules tailored to address areas of specific abuse, say attorneys at Zerbe Miller.
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Managing Anti-Corporate Juror Views Revealed By CEO Killing
After the shooting of UnitedHealthcare CEO Brian Thompson laid bare deep-seated anti-corporate sentiments among the public, companies in numerous industries will have to navigate the influence of related juror biases on litigation dynamics, say Jorge Monroy and Keith Pounds at IMS Legal Strategies.
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Opinion
California Climate Lawsuit Bill Is Constitutionally Flawed
A bill in the California Legislature that would let victims of climate-related disasters like the Los Angeles wildfires sue oil and gas producers for spreading misinformation about climate change is too vague, retroactive and focused on one industry to survive constitutional scrutiny, says Kyla Christoffersen Powell at the Civil Justice Association of California.
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How Law Firms Can Counteract The Loneliness Epidemic
The legal industry is facing an urgent epidemic of loneliness, affecting lawyer well-being, productivity, retention and profitability, and law firm leaders should take concrete steps to encourage the development of genuine workplace connections, says Michelle Gomez at Littler and Gwen Mellor Romans at Herald Talent.
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5 Keys To Building Stronger Attorney-Client Relationships
Attorneys are often focused on being seen as the expert, but bonding with clients and prospects by sharing a few key personal details provides the basis for a caring, trusted and profoundly deeper business relationship, says Deb Feder at Feder Development.
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Drug Kickback Ruling Will Make FCA Liability Harder To Prove
The First Circuit's ruling in U.S. v. Regeneron Pharmaceuticals, requiring the government to prove but-for causation to establish False Claims Act liability based on violations of the Anti-Kickback Statute, raises the bar for FCA enforcement and deepens a circuit split that the U.S. Supreme Court may need to resolve, say attorneys at Baker Donelson.
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Notable Q4 Updates In Insurance Class Actions
In a continuation of trends in property and casualty insurance class actions, last quarter insurers struggled with defending the merits and class certification of sales tax and fee suits, and labor depreciation cases, but succeeded in dismissing privacy class actions at the pleading stages, says Mathew Drocton at BakerHostetler.
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Evidence Rule May Expand Use Of Out-Of-Court Statements
A proposed amendment to Federal Rule of Evidence 801(d)(1)(A) would broaden the definition of nonhearsay, reflects a more pragmatic approach to regulating the admissibility of out-of-court statements by declarant-witnesses, and could help level the playing field between prosecutors and criminal defendants, say attorneys at Hangley Aronchick.