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December 20, 2024
Fla. Labs Appeal $7.3M Conn. Jury Verdict Favoring Cigna
Three Florida substance abuse testing laboratories filed notice Thursday promising to appeal a $7.3 million loss to Cigna Health and Life Insurance Co. over billings for recurring tests on drug treatment patients the insurer said were not medically necessary.
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December 20, 2024
Prudential Freed From 401(k) Mismanagement Suit
A New Jersey federal judge tossed a class action claiming Prudential bogged down its retirement plan with underperforming funds while also funneling money into a proprietary investing tool that benefited the company over employees, ruling the case lacks proof that mismanagement occurred.
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December 20, 2024
UK Litigation Roundup: Here's What You Missed In London
This past week in London has seen the University of Southampton sue a drone-maker over the rights to an uncrewed aircraft patent, Importers Service Corp. and its subsidiary ISC Europe take action against a former director who allegedly owes the company over £1.1 million ($1.4 million), and DAC Beachcroft face a fraud claim by a "prolific litigant."
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December 20, 2024
NJ Atty Says RICO Case Only Alleges He Acted As Lawyer
New Jersey attorney William Tambussi has slammed the Garden State's response to his bid to toss charges against him in the state's sweeping indictment against power broker George E. Norcross III, claiming it does not show how his routine legal work constitutes a crime.
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December 20, 2024
Kirkland Steers CCC Intelligent On $730M AI Insurance Deal
Chicago-based insurance industry platform CCC Intelligent Solutions Inc. said Friday it has agreed to acquire EvolutionIQ Inc., an AI-powered claims management platform, for $730 million, in a deal steered by Kirkland & Ellis LLP and Lowenstein Sandler LLP, respectively.
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December 20, 2024
Top Pa. Cases Of 2024: Elon Musk, Johnny Doc, Uber Drivers
This year was a standout for high-profile legal battles in Pennsylvania, from a blockbuster verdict against Monsanto over its Roundup weedkiller to the Philadelphia district attorney's fight with Elon Musk over allegations that he tried to influence the 2024 presidential election with his million-dollar giveaway.
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December 19, 2024
9 Charged In $20M Medicaid Fraud Linked To Philly Pharmacy
Nine people associated with a South Philadelphia pharmacy have been charged with an alleged five-year scheme to defraud Medicare and Medicaid out of $20 million by submitting false claims for prescription reimbursement of expensive medications like HIV drugs, the Pennsylvania Attorney General's Office said Thursday.
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December 19, 2024
$18M TransUnion Loss 'Riddled With Defects,' 6th Circ. Says
The Sixth Circuit said Wednesday that a jury's $18.3 million award in a dustup over intellectual property related to an online insurance quote marketplace was based on damages evidence that was sorely lacking, affirming that TransUnion is off the hook.
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December 19, 2024
New Jersey Power Broker Says RICO Case Isn't Fit For Jury
Defendants dubbed the "Norcross Enterprise" are fighting back against New Jersey Attorney General Matthew Platkin's assertion that their bid to toss a criminal indictment accusing them of engaging in a sprawling racketeering scheme is out of place, claiming the state misunderstands the roles of judge and jury.
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December 19, 2024
Genworth Can Get Docs Explaining Atty's Role Amid Sale Row
A Delaware vice chancellor has ruled Genworth Life Insurance Co. can access certain documents from policyholders who sued over the sale of valuable subsidiaries, including discussions involving a former law partner of one of the plaintiffs who is representing certain entities believed to be funding the litigation.
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December 19, 2024
5th Circ. Urged To Deny Tax Break For Doc's Captive Insurance
A physician who owns a network of urgent care clinics was correctly denied tax deductions along with his wife for over $1 million in premiums they paid to insurance companies they owned, the government told the Fifth Circuit, saying the captive arrangements didn't qualify as insurance for tax purposes.
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December 18, 2024
Homeless Woman's Residency Unclear In Inter-Insurer Dispute
A Michigan state appeals court has vacated a trial court order finding the insurer for a homeless woman's parents must cover injuries she suffered after being run over by a semitruck, ruling that questions remain over whether the woman had another established residence.
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December 18, 2024
Liberty Mutual Says It Won't Cover Red Roof Trafficking Suits
Liberty Mutual Fire Insurance Co. asked a federal judge Wednesday to declare that it does not owe coverage to a Pennsylvania Red Roof Inn in two lawsuits claiming that the motel was responsible for allowing sex trafficking on the premises.
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December 18, 2024
Insurers Must Participate In Trafficking Suit Talks, Hotel Says
A Ramada Inn franchise operator accused of enabling and profiting from sex trafficking said its insurers should be required to participate in settlement talks to resolve a suit brought by a trafficking victim, telling a New Jersey federal court the discussions will not be successful otherwise.
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December 18, 2024
Insurers Say Arbitration Is Proper In $7M Ida Damage Suit
A group of international and domestic insurers asked a Louisiana federal judge to keep in place an order to arbitrate a $7 million Hurricane Ida damage claim, disputing a property owner's argument that state law has a say in the matter.
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December 18, 2024
Insurance Co. Buyer Accuses Seller Of Fraud In Chancery Suit
Alleging a "textbook case of fraud in the inducement and breach of fiduciary duty," a holding company that acquired Georgia-based Southern Trust Insurance Co. has sued the seller's principals, associates and their company in Delaware's Court of Chancery.
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December 18, 2024
Insurer Says No Coverage For USC Frat's Sex Assault Suit
An insurer told a California federal court that it doesn't owe coverage to an event company accused of failing to provide a safe environment at a fraternity party where a woman said she was sexually assaulted, saying the policy's professional services and sexual misconduct exclusions preclude coverage.
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December 18, 2024
Top Conn. Cases Of 2024: Kickbacks, Paybacks And Bribes
Judges and juries in Connecticut awarded several multimillion-dollar verdicts against companies big and small in 2024, socking Johnson & Johnson in a talc case in which the already substantial damages could multiply and ordering a pharmacy that paid kickbacks to cough up nearly four times the money it cost the state.
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December 17, 2024
BDO Asks 2nd Circ. To Rethink AmTrust Investor Suit Ruling
Auditing firm BDO USA LLP has asked the full Second Circuit to review an earlier decision that allowed a lawsuit brought by AmTrust Financial Services Inc. investors to move forward on claims that the auditor did a poor job reviewing the insurer's financial statements.
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December 17, 2024
Insurer Can't Duck Coverage Of Fire Suit, Texas Jury Finds
A Texas federal jury rejected an insurer's bid to escape covering a trucking company in an underlying suit over a fire at a saltwater disposal facility that killed one of the company's employees, finding that the incident was not caused by the excluded act of hydrofracking.
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December 17, 2024
Insurer Gets $29M Fatal Crash Judgment Thrown Out
A North Carolina appeals court on Tuesday threw out a nearly $29 million judgment against an insurance company in a suit alleging it failed to defend and settle claims from a fatal car accident, saying the company had no duty to defend.
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December 17, 2024
Insurers Freed From Multivehicle House Collision Row
The Michigan Court of Appeals reversed a lower court's decision, finding that the insurers of vehicles damaged during a 2019 semitruck accident were not responsible for paying for a home that was also destroyed in the incident because the other cars' involvement in the melee was secondary.
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December 17, 2024
Oil Cos. Seek Coverage For Water Byproduct Pollution
Two oil and gas companies accused their commercial general liability insurer and certain Lloyd's of London underwriters of denying coverage for a release of waste byproduct in bad faith, telling a New Mexico federal court the release further triggered state-supervised remediation efforts that imposed additional costs.
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December 17, 2024
Insurer Settles Coverage Row Over Conn. Plane Crash
An aviation insurer seeking to avoid coverage for a 2021 crash that killed all four passengers aboard a Cessna private jet settled its suit with the owners and operators of the jet, according to a notice in Connecticut state court.
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December 17, 2024
IRS Finalizes Expanded 'Coverage Month' For Premium Credit
The Internal Revenue Service finalized rules Tuesday that will expand the definition of a coverage month for purposes of computing the health insurance premium tax credit.
Expert Analysis
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Hawaii Climate Insurance Case Is Good News For Energy Cos.
The Hawaii Supreme Court's recent ruling in a dispute between an oil company and its insurers, holding that reckless conduct in the context of activities that can cause climate harms is covered by liability policies, will likely be viewed by energy companies as a positive development, say attorneys at Fenchurch Law.
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Opinion
6 Changes I Would Make If I Ran A Law School
Reuben Guttman at Guttman Buschner identifies several key issues plaguing law schools and discusses potential solutions, such as opting out of the rankings game and mandating courses in basic writing skills.
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Using Data To Inform Corporate Disclosure Decisions
With today’s market volatility and regulatory factors requiring public companies to confront competing transparency and protection demands, incorporating stock price reaction analysis of company-specific news into the controller's role could be beneficial for disclosure determinations, say Liz Dunshee at Fredrikson & Byron and Nessim Mezrahi at SAR.
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Best Practices For AI Disclosures In Insurance Applications
As businesses integrate AI into their operations, insurers are starting to develop targeted questions to assess the associated risks, but ambiguities in the application forms can create challenges for businesses applying for insurance, say attorneys at Hunton.
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Firms Still Have The Edge In Lateral Hiring, But Buyer Beware
Partner mobility data suggests that the third quarter of this year continued to be a buyer’s market, with the average candidate demanding less compensation for a larger book of business — but moving into the fourth quarter, firms should slow down their hiring process to minimize risks, say officers at Decipher Investigative Intelligence.
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Teaching Your Witness To Beat The Freeze/Appease Response
In addition to fight-or-flight, witnesses may experience the freeze/appease response at trial or deposition — where they become a deer in headlights, agreeing with opposing counsel’s questions and damaging their credibility in the process — but certain strategies can help, says Bill Kanasky at Courtroom Sciences.
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Think Like A Lawyer: 1 Type Of Case Complexity Stands Out
In contrast to some cases that appear complex due to voluminous evidence or esoteric subject matter, a different kind of complexity involves tangled legal and factual questions, each with a range of possible outcomes, which require a “sliding scale” approach instead of syllogistic reasoning, says Luke Andrews at Poole Huffman.
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Think Like A Lawyer: Note 3 Simple Types Of Legal Complexity
Cases can appear complex for several reasons — due to the number of issues, the volume of factual and evidentiary sources, and the sophistication of those sources — but the same basic technique can help lawyers tame their arguments into a simple and persuasive message, says Luke Andrews at Poole Huffman.
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What Insurers Need To Know About OFAC's Expanded FAQs
The Office of Foreign Assets Control's recently expanded insurance FAQs clarify how OFAC views insurance policies in a number of specific circumstances involving sanctioned parties, and make plain that sanctions compliance is the responsibility of all participants in the insurance ecosystem, including underwriters, brokers and agents, say attorneys at Morgan Lewis.
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Series
Gardening Makes Me A Better Lawyer
Beyond its practical and therapeutic benefits, gardening has bolstered important attributes that also apply to my litigation practice, including persistence, patience, grit and authenticity, says Christopher Viceconte at Gibbons.
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Nevada Justices Could Expand Scope Of Subrogation Claims
The Nevada Supreme Court's recent decision to hear North River Insurance v. James River Insurance could expand the scope of equitable subrogation claims in the state by aligning with the California standard, which doesn't require excess insurers to demonstrate damages, says Daniel Heidtke at Duane Morris.
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Litigation Inspiration: Reframing Document Review
For attorneys — new ones especially — there is much fulfillment to find in document review by reflecting on how important, interesting and pleasant it can be, says Bennett Rawicki at Hilgers Graben.
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A View Into NY's New Business Interruption Insurance Law
In response to businesses' economic challenges during the pandemic, New York recently allowed the issuance of stand-alone business interruption insurance coverage, and while pricing and insurer participation questions remain, the product stands to benefit business owners and the state economy, say attorneys at Saxe Doernberger.
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California Supreme Court's Year In Review
Attorneys at Horvitz & Levy highlight notable decisions on major questions from the California Supreme Court's last term, including voter initiatives, hostile work environment and the economic loss rule.
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2nd Circ. AmTrust Decision Shows Audit Reports Still Matter
Though the Second Circuit eventually found on reconsidering a case over the high-profile accounting meltdown at AmTrust that audit reports are material to investors, its previous contrary holding highlights the seriousness of the ongoing crisis of confidence in the audit report, say attorneys at Bernstein Litowitz.