• February 12, 2016

    Allstate Workers Ask Judge To Rethink His Release Ruling

    Allstate workers told a Pennsylvania federal judge Thursday that his conclusion they weren't forced to sign a liability release when the company turned them into independent contractors was wrong and contradicted a jury's finding.

  • February 12, 2016

    Phone Reseller Says Insurer Must Cover It In Sprint Suit

    A phone reseller on Friday hit a Liberty Mutual unit with a suit in Maryland federal court, saying the insurer must provide defense costs for an underlying suit brought by Sprint alleging the company took part in a scheme to illegally sell unlocked iPhones. 

  • February 12, 2016

    Texas AG's Gay Marriage Ethics Row Breaks New Ground

    The ethics investigation into advice that Texas Attorney General Ken Paxton issued after the U.S. Supreme Court's landmark gay marriage ruling raises never-before-seen applications of Texas disciplinary rules that could make it difficult for a sanction to stick, experts said.

  • February 12, 2016

    CoreLogic, Morgan Stanley End Trade Secrets Release Feud

    CoreLogic and Morgan Stanley have settled the data broker’s appeal hoping to avoid disclosing trade secrets that helped fuel Prudential’s fraud claims against Morgan Stanley deriving from more than $1 billion in residential mortgage-backed securities, a New Jersey appeals court said Friday.

  • February 12, 2016

    NJ Doc Accused Of Bogus Insurance Claims Settles For $5M

    A Westfield, New Jersey, doctor and two of his companies have agreed to pay $5.25 million to resolve claims that they falsely billed federal health care programs for tests they never provided, U.S. Attorney Paul J. Fishman announced Friday.

  • February 12, 2016

    DC Court Revives Carlyle's Coverage Bid For Investor Suits

    A D.C. appeals court on Thursday reversed a decision freeing 16 insurers from defending or indemnifying Carlyle Investment Management LLC against investor class actions over the demise of an offshore mortgage-backed securities investment fund, finding that a professional services exclusion does not unambiguously bar coverage.

  • February 12, 2016

    Metal Co. Wants Superfund Cleanup Coverage Denial Revisited

    Metal forger Jorgensen Forge Corp. asked a Washington federal judge Thursday to reconsider her ruling freeing Illinois Union Insurance Co. from coverage of several environmental cleanup claims relating to a Superfund site near Seattle or to immediately ask the Ninth Circuit to review the decision.

  • February 12, 2016

    Plane Leasing Co. Wins Nod For $4M Crash Settlement

    A Florida company attempting to recover funds following the crash of an airplane it leased to another company was given permission Thursday in federal court to move forward with a $4 million settlement against the lessee and given a slight chance to revive claims against a firm that represented the crash insurance broker.

  • February 12, 2016

    Insurer Continues Push For Bench Trial In Ponzi Scheme Row

    Continental Casualty Co. maintained Thursday that a New York federal judge should personally decide whether it “unreasonably delayed” its decision to rescind a policy issued to Marshall Granger & Co. LLP in light of a $2 million Ponzi scheme perpetrated by the firm's executives, claiming the judge could end the case in one fell swoop.

  • February 12, 2016

    Wrong Law Used In Tax Collection Coverage Spat, Court Says

    A Kentucky appeals court on Friday declined to consider a delinquent tax bill collector's appeal of a ruling that Endurance American Specialty Insurance Co. doesn't have to defend or indemnify it in a class action accusing it of unfair tax collection practices, saying the lower court improperly applied Kentucky instead of Ohio law.

  • February 12, 2016

    Data 'Privacy Shield' Spurs Need For Cybersecurity Coverage

    The new data transfer mechanism recently agreed to by European and U.S. officials will have companies closely scrutinizing their insurance policies to ensure they will be protected against legal exposure from the heightened cybersecurity requirements and could spur insurers to roll out new products to fill gaps in coverage, experts say.

  • February 11, 2016

    Texas AG Under Investigation For Response To Obergefell

    Texas Attorney General Ken Paxton is under investigation by the state bar association for telling county clerks they could decline to issue marriage licenses to same-sex couples on religious grounds following the U.S. Supreme Court's decision last year legalizing gay marriage, attorneys who filed the grievance told Law360.

  • February 11, 2016

    Allstate Beats Horse Trainer's Coverage Suit At Trial

    A Pennsylvania jury on Thursday found Allstate didn't owe coverage to a horse racing trainer for his collapsed barn and that the trainer didn't make representations that amounted to insurance fraud when he sought payment under his homeowners policy.

  • February 11, 2016

    Kleinbard, Fox Rothschild Beat Sanctions In $13M Trust Row

    A New York federal judge on Thursday refused to sanction Kleinbard LLC and Fox Rothschild LLP over the alleged destruction of documents crucial to a fight over the rights to the $13 million life insurance policy of a deceased woman.

  • February 11, 2016

    Fla. Pharmacies, Docs Settle Tricare Billing Row For $10M

    The U.S. Department of Justice announced Thursday it has reached a settlement agreement with two compounding pharmacies in Florida and four physicians for approximately $10 million, resolving allegations that they steered costly and often unused prescriptions for military members to the pharmacies and profited off of inflated government reimbursements.

  • February 11, 2016

    Lack Of New Info Dooms Travelers' Billing Suit, Judge Told

    Payment administrator RGL Inc. told a California federal judge Thursday that Travelers Insurance can't revive claims against it in a lawsuit accusing it, Newmeyer & Dillion LLP and Centex Homes of fraudulently overbilling for defense coverage in construction defect litigation, because no new evidence has surfaced since the suit's 2013 dismissal.

  • February 11, 2016

    NJ Justices Send 'Warning Call' To Insureds On Late Notice

    The New Jersey high court's ruling Thursday that National Union doesn't have to show it was harmed by a policyholder's late notice of a lawsuit in order to deny coverage sends a "warning call" to insureds to carefully comply with their policies' notice provisions, but attorneys say the decision's reach could be limited because the case involved a sophisticated corporate policyholder.

  • February 11, 2016

    Poultry Co. Wins $2.7M In Cockroach Shutdown Coverage Trial

    A California federal judge on Thursday awarded Foster Poultry Farms $2.7 million in an insurance coverage trial against Lloyd's of London over losses it sustained when federal inspectors found cockroaches at one of its facilities, forcing it to shut its doors and destroy 1.3 million pounds of chicken.

  • February 11, 2016

    ACA, Zika, Opioids Hot Topics In HHS Budget

    Opioid abuse, the Zika virus and insurers' leaving Affordable Care Act marketplaces were among the issues a U.S. Senate committee raised with U.S. Secretary of Health and Human Services Sylvia Burwell at a hearing Thursday on the president’s proposed budget.

  • February 11, 2016

    Illinois Investment Fund Says $50M Fraud Loss Is Covered

    An Illinois municipality investment fund is suing Federal Insurance Co. for alleged breach of contract after the insurer denied coverage of more than $50 million in losses the fund suffered after purchasing allegedly fraudulent U.S. Department of Agriculture-backed bonds.

Expert Analysis

  • Lessons Learned From A $1.4M Legal Malpractice Verdict

    Curtis Cooper

    Later this year, the New Jersey Supreme Court will issue its ruling in Innes v. Marzano-Lesnevich on the issue of whether a nonclient who prevails in a legal malpractice action can recover legal fees. Curtis Cooper, a principal of Lawyers Insurance Group, recaps this legal saga that has spanned 11 years and two continents, and offers attorneys some key takeaways.

  • Defining 'Securities Claims' In D&O Policies

    Kevin M. LaCroix

    The Ninth Circuit’s recent determination that the phrase “securities of” in Impac Mortgage's directors and officers insurance policy refers to Impac’s own shares is, in and of itself, unremarkable. What is perhaps of greater interest is the question whether a D&O policy should be providing coverage for claims that did not involve a policyholder’s own securities, says Kevin LaCroix of RT ProExec.

  • Amended Rule 26’s Proportionality Standard: The First 60 Days

    Gregory Brown

    While the removal of the familiar “reasonably calculated to lead to the discovery of admissible evidence” standard suggests a departure from prior practice, the first opinions from the federal courts implementing amended Federal Rule of Civil Procedure 26(b)(1) suggest otherwise, says Gregory Brown of Kaufman Dolowich & Voluck LLP.

  • When Policyholders Aren't Entitled To Preaward Interest

    Scott G. Johnson

    The Minnesota Court of Appeals in Poehler v. Cincinnati Insurance recently upheld the prevailing rule that a policyholder is not entitled to preaward interest where there is no breach of contract and that when an insurer acknowledges coverage and the sole dispute turns on quantifying the covered loss and not the existence of coverage, there is no breach of contract, says Scott Johnson at Robins Kaplan LLP.

  • Investing In The Marijuana Industry: Where We Stand

    John Bessonette

    Companies — and their investors — continue to face a myriad of risks associated with uncertainty over future regulatory developments concerning the marijuana industry. As large states like California and Ohio prepare for legalization initiatives, however, the trend toward increasing liberalization and associated comfort levels of investors seems likely to continue, say John Bessonette and Tai Aliya of Kramer Levin Naftalis & Frankel LLP.

  • How Does Skadden Stay No. 1?

    Elizabeth Duffy

    Analyzing the reasons why clients choose certain firms reveals a great deal about what is important and valued in the marketplace. Based on interviews with a random sample of over 600 heads of legal in the largest U.S. organizations, Elizabeth Duffy, vice president of Acritas US Inc., identifies the core brand drivers of Skadden Arps Slate Meagher & Flom LLP.

  • Subrogation Claims Aren't 'Consumer Debts' Under Fla. Law


    Property and casualty insurers using collection agencies to collect subrogation claims in Florida can now cite a Florida district court case to insulate them from consumer claims based on collection activities of their agencies, says Elizabeth Bohn at Carlton Fields.

  • OPINION: The Road To Partnership Must Keep Evolving

    Daniel L. Butcher

    In a recent Law360 article it was suggested that promotion to partner was a competition between associates and that taking maternity, paternity or family medical leave could impact an associate's chances at promotion. But this sort of ethos — which may have contributed to law firms’ success in the past — is not the best way to secure the industry's future, says Daniel Butcher, managing partner of Strasburger & Price LLP.

  • An Uphill Battle For Providers Contesting Network Exclusion

    Fred A. Smith

    As the trend toward more narrow managed care networks continues in the U.S., provider lawsuits concerning exclusions and removals from networks and managed care entities are likely to increase as well. However, a recent decision by an Illinois court demonstrates that courts are hesitant to engage in micromanaging staff and network membership decisions that are made by payors, say attorneys at Sedgwick LLP.

  • Has Gene By Gene Unzipped TCPA Insurance Exclusions?

    Joshua A. Mooney

    Evanston Insurance v. Gene By Gene Ltd. in Texas district court addresses a new twist on an insurer's Telephone Consumer Protection Act exclusion, in effect limiting it to underlying marketing claims involving junk faxes or spam email. Some might herald this decision as a judicial scaling back of the exclusion, but such proclamations would be premature, says Joshua Mooney at White and Williams LLP.