Banks' Tort Bids Tossed In Commercial Money Case

Law360, New York (March 12, 2009, 12:00 AM EDT) -- As banks and insurers grapple over millions lost in Commercial Money Center Inc.’s alleged investment fraud, the institutional investors, including JP Morgan Chase Bank NA and United Security Bank, failed Wednesday to hold the insurers liable for their losses.

Judge Kathleen M. O'Malley of the U.S. District Court for the District of Ohio backed the surety companies, granting partial summary judgment to Safeco Insurance Co. of America, Royal Indemnity Co. and American Motorists Insurance Co. on allegations they acted in bad faith when providing surety contracts...
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