Federal Off Hook For $8.6M Ill. Funeral Fees Dispute

Law360, New York (December 10, 2010, 5:08 PM EST) -- The Illinois Funeral Directors Association will not be able to rely on directors and officers liability insurance policies issued by Federal Insurance Co. to cover litigation stemming from $8.6 million the organization collected in allegedly unauthorized fees, a federal court has ruled.

Federal won summary judgment Wednesday in the U.S. District Court for the Northern District of Illinois, where Judge Samuel Der-Yeghiayan ruled that the IFDA failed to give the insurer timely notice of the claims against it.

The dispute centers on a 2006 letter from...
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