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Insurance
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March 12, 2025
Publix Policies Don't Cover Opioid Claims, Court Says
Insurers for Publix have no duty to defend or indemnify the supermarket chain in dozens of public nuisance lawsuits related to the opioid crisis, a Florida federal court said Wednesday, following Publix's renewed request that the court enter a final judgment so it could proceed with appeal.
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March 12, 2025
Chipwich Maker Blames Broker For $4.5M Recall Loss
The maker of Chipwich ice cream sandwiches told a Connecticut state court that its broker negligently failed to secure product recall insurance, causing a preventable loss of $4.5 million to the company, after desserts were destroyed because of potential listeria contamination.
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March 12, 2025
Construction Co. Must Face Insurer's $7M Iron Plant Fire Suit
A construction company can't avoid an AIG unit's $7 million subrogation suit over a fire at an iron processing plant, a Texas federal court ruled, saying the insurer sufficiently stated a claim for negligence.
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March 11, 2025
Insurer Says It's Off The Hook For Pay Transparency Suit
Houston Casualty Co. said Tuesday that its liability insurance policy does not cover an underlying lawsuit accusing a Washington company that owns McDonald's franchises of violating the state's pay transparency law for job postings.
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March 11, 2025
Fla. Court Urged To Remove Cigna Claims Processor In MDL
Cigna Healthcare on Tuesday urged a Florida federal court to remove a settlement claims processor in a long-running multidistrict litigation case involving alleged underpaid insurance reimbursements to medical providers, telling a judge that the company has misspent more than $25 million in funds meant for members of a class action within the MDL.
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March 11, 2025
5th Circ. Hopes For 'Sanity' In Backing Legal Malpractice Arb.
Untangling a "ridiculous" arbitration proceeding that produced four contradictory awards in a legal malpractice dispute, the Fifth Circuit on Tuesday affirmed three awards and most of another, adding that the parties are "free to arbitrate another day" in the hope that their disagreements will be resolved "for the sake of sanity."
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March 11, 2025
Captive Insurer Shareholders Can't Target Owner, Court Told
The majority owner of a now-defunct North Carolina captive insurer wasn't personally obligated to pay premiums for nursing homes reportedly under his control, his counsel told a state court judge in seeking to pare down a self-dealing suit lobbed by the minority shareholders.
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March 11, 2025
Property Co. Says Insurer Must Pay $10M For Judgment
The insurer for builders of a luxury mixed-use development in Oakland, California, must cover more than $10 million after a judgment was entered against the entities in an underlying suit brought by a property company asserting negligence and trespass claims, according to a complaint removed to federal court Tuesday.
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March 11, 2025
Lyft Driver Says Up To $1M In UIM Benefits Owed Over Crash
A Lyft Inc. driver who said he was severely injured in a head-on collision while completing a ride is accusing the ride-hailing giant and its insurer of failing to provide him up to $1 million in underinsured motorist coverage, even though he said Lyft promised such coverage to its drivers.
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March 11, 2025
Insurer Says AIG Unit Must Cover Water Contamination Suit
An AIG unit can't rely on its policy's pollution exclusion to bar coverage for a Texas water utility accused of providing contaminated water to residents, the utility's other insurer told a federal court, saying the court has already rejected the application of the exclusion in a related case.
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March 11, 2025
Ex-Marvel Exec Asks Fla. Court To Revive Punitives Claim
Former Marvel Entertainment Chair Ike Perlmutter has asked the Florida Supreme Court to revive his punitive damages claim against his neighbor in a dispute over a hate mail campaign, arguing that the appellate decision blocking his claim breaks from decades of jurisprudence on punitive damages in Florida.
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March 11, 2025
2nd Circ. Affirms Union Fund's Win In COVID-19 Test Fight
The Second Circuit upheld a win for a union benefit fund Tuesday in a medical practice's suit alleging it was owed reimbursements for COVID-19 testing from a union employee health benefit plan, finding a lower court properly tossed the complaint for failure to exhaust administrative remedies.
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March 11, 2025
Yacht Owner Seeks $1M From Marsh After Losing Coverage
A yacht owner asked a Florida federal court to find its insurance broker owed over $1 million for negligence for failing to provide or explain its policy, after it was denied coverage for a total loss grounding because the boat's fire suppression equipment wasn't inspected as required.
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March 11, 2025
La. Eatery Must Litigate Hurricane Coverage Under NY Law
A New Orleans restaurant must litigate its hurricane damage claims against its insurer under New York law, a New York federal judge ruled Tuesday, rejecting the restaurant's position that Louisiana law must apply instead despite the policy's New York choice-of-law and forum selection provision.
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March 11, 2025
Software Co. Says Ex-Employees Stole AI Trade Secrets
A software company that uses artificial intelligence to automate appeals when insurers deny a healthcare provider's payment request has sued two former staffers, alleging they used confidential information gathered through their employment to launch a competing company.
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March 11, 2025
Insurers Must Cover Abuse Suits, NH Youth Centers Say
Two youth treatment centers said their insurers must defend and indemnify them in suits alleging mistreatment and abuse of children at certain facilities in the 1990s, telling a New Hampshire federal court that they are covered as purported successors in interests to the policies' named insureds.
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March 10, 2025
Viacom And NAI Can Continue Shareholder Coverage Dispute
A Delaware Superior Court judge ruled in companion cases that Shari Redstone, National Amusements Inc. and Viacom Inc. can still seek coverage for millions after underlying shareholder litigation in the wake of Viacom's 2019 CBS merger, determining prior actions were unrelated to the underlying disputes at hand.
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March 10, 2025
Colo. Justices To Review Insurers' Noncooperation Defense
The Colorado Supreme Court will consider whether a pair of insurance companies can defeat a man's bad-faith lawsuit by arguing his failure to turn over medical information about a surgery before his auto accident breached a contractual duty, according to an order Monday granting two petitions for review.
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March 10, 2025
Insurer Says CarePoint's Ch. 11 Plan 'Fatally Flawed'
An insurer has asked a Delaware bankruptcy judge to reject CarePoint Health Systems' Chapter 11 plan, saying it is designed to unfairly benefit the debtor's landlord with liability releases.
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March 10, 2025
Insurer May Be Liable For Coverage Of School Abuse Suits
A Washington federal judge said an insurer may still be liable for covering underlying claims of physical and sexual abuse against staff at a boarding school for troubled youth on the state's Cypress Island, because one policy year unlike others was missing an endorsement requiring connection to a particular location.
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March 10, 2025
4th Circ. Reverses $10M Coverage Cap For Aluminum Co.
The Fourth Circuit on Monday reversed a lower court's ruling capping an aluminum supplier's total recovery for losses related to a fire at $10 million, saying a molten material endorsement in the company's all-risk policies is ambiguous.
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March 10, 2025
NY AG Sues Allstate Unit Over Pair Of Data Breaches
Allstate unit National General Insurance Co. was sued Monday by New York Attorney General Letitia James over two data breaches in 2020 and 2021, saying the company failed to safeguard sensitive data or inform customers.
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March 10, 2025
Texas Atty Wants Allstate Sanctioned Over 'Dead' Expert Claim
A prominent Houston lawyer has denied filing a document purportedly signed by a long-dead expert witness and urged a Texas federal judge to sanction Allstate for accusing him of doing so, saying the signature actually belonged to the deceased expert's similarly named son.
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March 10, 2025
Freight Co. Says Cellphone Dealer Ignoring Discovery Bids
A freight coordination company said it has no choice but to ask a North Carolina federal court to sanction a cellphone dealer who sued it after a truckload of devices was stolen, claiming that it hasn't received adequate discovery responses.
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March 07, 2025
Condo Says Insurer Is Delaying $2M Hidden Damage Claim
A condo owners association told a Washington federal court that its insurer is deliberately delaying investigation and payment of its claim for over $2 million in hidden rain damage to its Seattle property, saying the carrier is trying to run out the limitations period in its policies.
Expert Analysis
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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.
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Series
Flying Makes Me A Better Lawyer
Achieving my childhood dream of flying airplanes made me a better lawyer — and a better person — because it taught me I can conquer difficult goals when I leave my comfort zone, focus on the demands of the moment and commit to honing my skills, says Ivy Cadle at Baker Donelson.
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With Precautions, AI Can Help With Suspicious Activity Filings
While artificial intelligence can enhance suspicious activity report processes, financial services firms should review applicable expectations and areas of deficiencies that can lead to enforcement actions before using AI to help write SARs, say attorneys at Jenner.
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Series
Circus Arts Make Me A Better Lawyer
Performing circus arts has strengthened my ability to be more thoughtful, confident and grounded, all of which has enhanced my legal practice and allowed me to serve clients in a more meaningful way, says Bailey McGowan at Stinson.
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How D&O Coverage Can Aid Against Increased AI Scrutiny
The recent increase in regulatory enforcement and securities class actions stemming from corporate use of artificial intelligence should prompt companies to ensure that their directors and officers liability insurance coverage is appropriately tailored to AI-related risks, say attorneys at Reed Smith.
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3 Ways To Train Junior Lawyers In 30 Minutes Or Less
Today’s junior lawyers are experiencing a skills gap due to pandemic-era disruptions, but firms can help bring them up to speed by offering high-impact skill building content in bite-sized, interactive training sessions, say Stacey Schwartz at Katten, Diane Costigan at Winston & Strawn and Lauren Tierney at Freshfields.
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8 Tech Tips For Stress-Free Remote Depositions
Court reporter Kelly D’Amico shares practical strategies for attorneys to conduct remote depositions with ease and troubleshoot any issues that arise, as it seems deposition-by-Zoom is here to stay after the pandemic.
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6th Circ. Ruling Prevents Disability Insurer Overreach
The Sixth Circuit’s recent ruling in McEachin v. Reliance Standard Life Insurance offers disability insurance claimants guidance on how they might challenge misapplications of policy limitations for mental illness when a medical condition accounts for their disability, says Mark DeBofsky at DeBofsky Law.
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Hurricane Coverage Ruling Clarifies Appraisal Scope In Fla.
In a case involving property insurance for hurricane damage, a Florida federal court recently enforced policy limits despite an appraisal award exceeding those limits, underscoring the boundaries between valuation and coverage — a distinction that provides valuable guidance for insurers handling post-catastrophe claims, says Tiffany Bustamante at Cozen O’Connor.
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Navigating Decentralized Clinical Trials With FDA's Guidance
The U.S. Food and Drug Administration's recently finalized guidance on conducting decentralized clinical trials, while not legally binding, can serve as a road map for sponsors, investigators and others to ensure trial integrity and participant safety, say attorneys at Phillips Lytle.
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4 Ways Attorneys Can Emotionally Prepare For Trial
In the course of litigation, trial lawyers face a number of scenarios that can incite an emotional response, but formulating a mental game plan in advance of trial can help attorneys stay cool, calm and collected in the moment, says Rachel Lary at Lightfoot Franklin.
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The Bar Needs More Clarity On The Discovery Objection Rule
Almost 10 years after Federal Rule of Civil Procedure 34 was amended, attorneys still seem confused about what they should include in objections to discovery requests, and until the rules committee provides additional clarity, practitioners must beware the steep costs of noncompliance, says Tristan Ellis at Shanies Law Office.