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Insurance
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March 25, 2025
Md. Bank Disputes IRS Denial Of Captive Tax Perk
A Maryland community bank is contesting in the U.S. Tax Court the Internal Revenue Service's decision to scrap two years' worth of tax deductions tied to a reinsurance captive, disputing the agency's findings that the arrangement had no economic purpose other than tax avoidance.
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March 25, 2025
A Look At 6 States Tussling Over Tort Reform Legislation
There are six state legislatures, mostly in the South, that are debating whether to install business-friendly tort reform legislation or dismantle medical malpractice guardrails. The bills run the gamut from potential game-changing legislation in Georgia, to efforts in Texas to cap certain types of personal injury damages.
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March 24, 2025
Justices Won't Hear Insurance Dispute Over Claim Timeliness
The U.S. Supreme Court on Monday rejected a California woman's bid to certify questions to Massachusetts' top court about when exactly an insurer must show it was prejudiced by an insured's late claim notice, letting stand a First Circuit decision that also refused to certify such questions.
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March 24, 2025
Feds Seek About 5 Years For Insurance Rep's $6M Bank Fraud
Georgia federal prosecutors recommended that a Florida insurance broker who pled guilty to defrauding a credit union out of $6 million through loans to commercial borrowers for insurance premiums be sentenced to between 51 and 63 months in prison.
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March 24, 2025
Final OK Sought For $3M In Bail Bond Antitrust Deals
A proposed class alleging they overpaid for bail bonds thanks to a price-fixing conspiracy is asking a California federal court to approve $3 million in settlements inked with two of the entities.
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March 24, 2025
Prudential Settles Trauma Surgeon's Disability Benefits Suit
Prudential agreed to end a surgeon's lawsuit claiming the insurer unlawfully cut off her disability benefits after erroneously determining that she could return to work in a different capacity, according to a filing Monday in Texas federal court.
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March 24, 2025
Skechers Says Insurer Shirked Defense Of Nonslip Shoe Suit
Skechers' insurer wrongfully refused to defend the shoe giant in a putative class action over slip-resistance problems with some of its shoes, Skechers told a California state court in seeking at least $750,000.
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March 24, 2025
9th Circ. Won't Revive Talent Agency's Litigation Coverage Bid
United Talent Agency isn't entitled to coverage from Markel American Insurance Co. in an underlying lawsuit alleging the talent company poached a rival's clients, the Ninth Circuit has said, finding the underlying claims involved "willful acts" by United Talent that block coverage under the California Insurance Code.
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March 24, 2025
3rd Circ. Upholds No-Coverage Ruling For PNC's $106M Loss
PNC Bank NA can't get coverage for a more than $106 million judgment it paid over underlying claims that a bank PNC acquired had mismanaged certain trust accounts, the Third Circuit ruled, finding a provision that barred coverage for wrongful acts occurring before an acquisition was applicable.
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March 24, 2025
Justices Won't Review Missing Comma Coverage Ruling
The U.S. Supreme Court won't review an Eleventh Circuit decision that a missing comma in a Chubb unit's professional services policy did not alter its clear and unambiguous meaning excluding coverage for a food service company's audit, according to an order list Monday.
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March 21, 2025
NY AG Notches Another Data Security Deal With Auto Insurer
Root Insurance Co. will pay $975,000 to resolve the New York attorney general's claims that the company failed to protect driver's license numbers and other personal information swept up in a hacking campaign targeting online rate quote tools, marking the fourth settlement that the regulator has reached with auto insurers over alleged data security failings.
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March 21, 2025
Hail Deductible Applicable In Colo. Townhomes' Storm Dispute
A homeowners association's insurer correctly applied a hail deductible when it issued a roughly $1,600 payment despite the association's $3.5 million damage estimate, a Colorado federal court ruled Friday, rejecting the association's argument that the deductible became void once the insurer breached the policy by underpaying coverage.
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March 21, 2025
Travelers Wants Exit From $4.5M Faulty Apartment Settlement
Travelers told a Georgia federal judge Friday that the insurer should not owe the lion's share of a construction contractor's $4.5 million settlement over botched site work at an apartment complex, arguing the bill should be footed by the company's primary policies with Amerisure.
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March 21, 2025
La. Town Tells 5th Circ. No Arbitration For Hurricane Claims
A Louisiana town seeking hurricane damage coverage urged the Fifth Circuit to uphold a Louisiana district court's decision finding an arbitration clause unenforceable, noting the Louisiana Supreme Court explicitly said it disagreed with a recent Fifth Circuit ruling that had ordered arbitration under similar circumstances.
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March 21, 2025
Imerys Insurers Want Italian Subsidiary's Ch. 11 Tossed
A foreign affiliate of bankrupt talc miner Imerys does not qualify for Chapter 11 protection, a group of insurance carriers have told the Delaware bankruptcy court, urging it to dismiss the subsidiary's recent bankruptcy petition.
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March 21, 2025
No Coverage Owed For Fatal Nail Salon Shooting, Court Told
A Progressive insurer has no duty to defend or indemnify a nail salon for any potential claims stemming from a fatal shooting, the carrier told a Louisiana federal court, saying coverage is barred by the policy's assault or battery exclusion and other provisions.
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March 21, 2025
UK Litigation Roundup: Here's What You Missed In London
This past week in London has seen a sub-postmaster sue the Post Office and Fujitsu, Russian insurer Ingosstrakh hit the Financial Times with a defamation claim, and Britvic-owned Robinsons Soft Drinks file a passing off claim against Aldi. Here, Law360 looks at these and other new claims in the U.K.
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March 20, 2025
Mich. Judge Warns No-Fault Rulings Rely On 'Slick' Ground
A Michigan appellate judge on Wednesday flagged potentially flawed reasoning behind recent appellate decisions regarding minimum bodily injury no-fault coverage under state law, but joined a majority panel in finding an insurer must pay the statutory minimums for a fatal crash because the policyholder did not select a lower option.
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March 20, 2025
Progressive Wins $25M Appeal In Fla. Vehicle Injury Suit
A Florida state appellate panel reversed a $25 million judgment against Progressive American Insurance Co. in a lawsuit brought by a pedestrian who was struck by a car, finding that the insurer wasn't given the required 60-day notice to address any bad faith dispute before a complaint was filed.
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March 20, 2025
Injured Workers' Comp Lawyer Wins Coverage Of CBD Oil
CBD oil prescribed to a workers' compensation attorney for a back injury he suffered while loading files into a trial bag must be covered by his firm, the Pennsylvania Supreme Court affirmed on appeal Thursday.
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March 20, 2025
Property Owner Demands Appraisal Of $10.5M Hail Claim
A Tennessee property owner asked a federal court Thursday to order a Travelers unit to participate in an appraisal of its hail damage claim, alleging the insurer denied coverage even though an "independent evaluation" of the owner's damages estimated that the hail damage exceeded $10.5 million.
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March 20, 2025
Former Ore. Doctor's Deduction For Insurance Premiums OK'd
A former Oregon doctor's payments of $2.5 million to a captive insurer are deductible from his state taxable income, the Oregon Tax Court ruled, saying an agreement the taxpayer reached with the Internal Revenue Service did not bar the deductions.
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March 20, 2025
Berger Singerman Rips Bid To Save Fla. Malpractice Suit
Berger Singerman LLP and one of its attorneys have asked a Florida state court once again to toss a malpractice lawsuit related to hurricane damages brought by former client ARC Resorts LLC, saying the business is seeking to "dodge dismissal through obfuscation."
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March 20, 2025
Judge Trims Ex-Sales Director's Suit Against Insurer
An Ohio federal judge dismissed parts of a $21 million lawsuit accusing a Cleveland-based life insurance firm of wrongly withholding commissions from a former outside sales director, but left the businessman's claims for defamation and declaratory judgment untouched for further proceedings.
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March 19, 2025
Insurers End Dispute Over Pizza Chain Salmonella Coverage
Two insurers for a "take 'n' bake" pizza chain have settled a dispute over their contributions to a deal reached by their mutual insured in an underlying case over salmonella-tainted cookie dough, with a Washington federal court tossing the suit.
Expert Analysis
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4 Ways Women Attorneys Can Build A Legal Legacy
This Women’s History Month, women attorneys should consider what small, day-to-day actions they can take to help leave a lasting impact for future generations, even if it means mentoring one person or taking 10 minutes to make a plan, says Jackie Prester, a former shareholder at Baker Donelson.
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A Judge's Pointers For Adding Spice To Dry Legal Writing
U.S. District Judge Fred Biery shares a few key lessons about how to go against the grain of the legal writing tradition by adding color to bland judicial opinions, such as by telling a human story and injecting literary devices where possible.
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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.