• March 23, 2015

    Liberty Reaches Deals To Exit Sprawling Meningitis Row

    Liberty Industries Inc., which provided containment facilities for New England Compounding Pharmacy Inc. prior to a deadly October 2012 meningitis outbreak, has agreed to settle with its insurer, NECC’s bankruptcy trustee and victims of the outbreak, according to documents filed in Connecticut federal court Friday.

  • March 23, 2015

    Fireman's Fund To Pay $44M To Settle FCA Charges

    Fireman’s Fund Insurance Co. on Monday agreed to pay $44 million to settle civil allegations under the False Claims Act that it falsified documents and knowingly issued insurance policies that were not eligible for the U.S. Department of Agriculture’s federal crop insurance program, the U.S. Department of Justice said.

  • March 23, 2015

    Ex-Smith Giacometti Atty Settles Malpractice Coverage Suit

    A Flaster/Greenberg PC attorney has settled a Pennsylvania federal suit alleging his former malpractice carrier, Minnesota Lawyers Mutual Insurance Co., refused to cover a claim brought by a former client when he was a name partner at Smith Giacometti LLC, according to a Monday filing.

  • March 23, 2015

    8th Circ. Puts Hartford On Hook For Mortgage Broker Bonds

    The Eighth Circuit held Monday that a 10-year limitations period applied to a woman's suit seeking payment on surety bonds that Hartford Fire Insurance Co. issued her mortgage broker, which allegedly falsely induced her into obtaining her mortgage, reversing a district court's application of a three-year statute.

  • March 23, 2015

    United Sues HCA To Keep Lid On 'Highly Proprietary' Data

    UnitedHealthcare Insurance Co. is suing hospital giant HCA Holdings Inc. for allegedly threatening to divulge confidential reimbursement information, asking a California court to block the release of "highly proprietary" records.

  • March 23, 2015

    PSEG Wins Storm Surge Ruling In Sandy Coverage Row

    A New Jersey judge on Monday found that approximately $500 million in damage that Public Service Enterprise Group Inc. has shouldered from Superstorm Sandy isn't subject to flood-related limits in the company's insurance policies, which would have slashed the amount it could collect.

  • March 23, 2015

    High Court Again Declines $22M Art Investors' Insurance Beef

    The Supreme Court declined Monday to take the case of a group of art investors locked in a $21.6 million insurance fight over artworks they say were misappropriated by a gallery owner.

  • March 23, 2015

    Funds Tell 2nd Circ. $60M AIG Case Tossed Prematurely

    A group of investment funds on Monday urged the Second Circuit to revive a $60 million stock-drop suit against American International Group Inc. over multiple alleged fraud schemes, saying a judge had abruptly tossed the case without argument or even a formal motion.

  • March 23, 2015

    The Law360 400

    There's a new leader of the pack for BigLaw. Morgan Lewis & Bockius LLP leapfrogged eight competitors to become the largest law firm in America and now holds the top spot in the Law360 400, our annual ranking of the largest U.S. law firms. Morgan Lewis took over the top spot from Jones Day in November when it added more than 750 lawyers, including hundreds in the U.S., from Bingham McCutchen LLP.

  • March 20, 2015

    8th Circ. Says Prior Payout Doesn't Clear Trucker's Insurer

    The Eighth Circuit on Friday affirmed that an insurance policy endorsement mandated by the Motor Carrier Act of 1980 requires another trucking company's insurer to compensate Tri-National Inc. for a judgment stemming from an accident, despite the fact that Tri-National's own insurer had already paid its claim.

  • March 20, 2015

    Iowa Justices Back State Farm In Store's Water Damage Suit

    A divided Iowa Supreme Court ruled Friday that State Farm Fire & Casualty Co. doesn't have to cover damage to an Amish retailer's store from rainwater released by a burst drainpipe, finding that the incident falls within an exclusion in State Farm's policy for losses caused by rain.

  • March 20, 2015

    Puerto Rico Won't Defend Same-Sex Marriage Ban In 1st Circ.

    The Puerto Rican government Friday told the First Circuit it no longer defends its same-sex marriage ban, saying its executive branch now recognizes the LGBT community’s right to equality under the law and urged it to reverse an October decision shooting down a constitutional challenge to the prohibition.

  • March 20, 2015

    Nat'l Union Can't Nix Bad Faith Claims In $5M Defect Suit

    A Colorado federal judge on Friday refused to let National Union Fire Insurance Company of Pittsburgh PA escape bad faith allegations from a developer's subsidiaries over underlying claims involving alleged construction defects at ski resort properties they developed, concluding state law didn't bar them from asserting those claims.

  • March 20, 2015

    Insurance Fight Win Not Enough For Atty Fees: Ark. High Court

    A policyholder can't recover attorneys' fees in an insurance dispute merely by prevailing in the litigation, the Arkansas Supreme Court held Thursday, finding that a state statute requires the insured to recover at least 80 percent of its demand to be able to be eligible for the fees.

  • March 20, 2015

    Judge OKs $970M AIG Deal, With Firms Scoring $116M

    A New York federal judge signed off Friday on a $970.5 million class action deal to settle consolidated securities fraud claims against American International Group Inc. and green-lighted a $116 million legal fees award, the bulk of which will go to Barrack Rodos & Bacine and the Miller Law Firm PC.

  • March 20, 2015

    Alaska Agencies To Review Security After Premera Breach

    Alaska's governor on Thursday ordered state agencies to review their online security safeguards as well as those put in place by their business associates, in response to a recent data breach at Premera Blue Cross that compromised scores of Alaska state employees' personal data. 

  • March 20, 2015

    BP Pays $7.9M To End Calif. Claims Over Leaky-Tank Cleanup

    BP Products North America Inc. will pay $7.9 million to settle allegations that it illegally double-billed the government and insurance companies for the environmental cleanup of leaky underground storage tanks, California state officials said Thursday.

  • March 20, 2015

    EEOC's Proposed Wellness Program Regs Advance To OMB

    The U.S. Equal Employment Opportunity Commission said Friday it was sending a proposed rule addressing the interaction between the Americans with Disabilities Act and financial incentives in corporate wellness programs to the White House Office of Management and Budget, setting the stage for the regulations to be published.

  • March 20, 2015

    AIG Unit Argues For Keeping Coverage Dispute In Arbitration

    A unit of the insurance giant American International Group Inc. asked a California federal judge Thursday to allow arbitration of its coverage dispute with two construction companies accused of botching a $250 million airport project, saying a provision of their policy specifically called for the proceeding.

  • March 20, 2015

    5 New FCA Rulings Attys Need To Know

    Several recent False Claims Act rulings will shape the ability of whistleblowers around the country to sue over conduct that's already been divulged in some form. Here are five new decisions involving the FCA's public disclosure bar that attorneys say will reverberate in future litigation.

Expert Analysis

  • Additional-Insured Concerns Surface In Deepwater Horizon

    Micah E. Skidmore

    The Texas Supreme Court's recent ruling in the matter of Deepwater Horizon will inevitably prompt more questions regarding the importance of “certificates of insurance” as well as how explicit a reference within an insurance policy must be or what nexus that reference must have with a coverage limitation before additional-insured status is circumscribed, says Micah Skidmore of Haynes and Boone LLP.

  • NY Courts Are Both Affirming And Limiting Bellefonte

    Robert A. Kole

    Despite several challenges over the years, federal and state courts in New York have consistently reaffirmed the core holding in Bellefonte Reinsurance v. Aetna Casualty & Surety Co. However, the Second Circuit's recent ruling in Utica Mutual Insurance v. Munich Reinsurance America held that Bellefonte's presumption of cost-inclusiveness can be rebutted, say Robert Kole and Kevin Finnerty of Choate Hall & Stewart LLP.

  • This Week In Congress: Avoiding A DHS Funding Showdown

    Richard A. Hertling

    One major change in the debate over U.S. Department of Homeland Security funding — which expires this Friday — is that a Texas federal district judge has issued an injunction against the Obama administration’s immigration policy, essentially putting it on hold. This may be an opportunity for the Senate to avoid the policy riders and pass a clean funding bill, say Richard Hertling and Kaitlyn McClure of Covington & Burling LLP.

  • In-House Counsel's Dirty 'Little' Secret: Data Leakage

    Jennifer Topper

    Not every data breach is a massive headline-grabbing theft of consumer credit card information. As significant as these events may seem, the more dangerous and prevalent threats are the least visible — occurring through "data leakage." Put simply, this is raw meat awaiting a strike by the plaintiff’s bar, says legal industry adviser Jennifer Topper.

  • 'Loss' In Translation: Insurers Beware

    Jose M. Umbert

    Reviewing an English translation of a Spanish language insurance policy is simply not enough as even experienced vendors based in civil law jurisdictions may not appreciate the assumptions of (re)insurers more familiar with common law policies and claim-adjusting expectations. Seemingly innocuous peculiarities should not be ignored, say Jose Umbert and Jason Reeves of Zelle Hofmann Voelbel & Mason LLP.

  • Recasting Claims Under CGL Policies Is Rough In 5th Circ.

    Jon T. Neumann

    The Fifth Circuit’s rejection of the Gum Tree defendants’ argument in Nationwide Mutual Insurance Company v. Gum Tree Property Management LLC that misappropriation of a business’ proprietary information is akin to violation of a “person’s” privacy rights under a general commercial liability policy has immediate significance for policyholders who may face claims for misappropriation of trade secrets from business competitors, say Jo... (continued)

  • Presidential Summit Reveals Cybersecurity Concerns, Trends

    Angelique Kaounis

    To be adequately informed about and prepared for cybersecurity threats — and to minimize loss of intellectual property and potential liability for data breaches — companies should carefully consider relevant practices described at last week's White House Summit on Cybersecurity and Consumer Protection, says Angelique Kaounis of Gibson Dunn & Crutcher LLP.

  • Dim Future For Ill. Bright-Line Competition Restrictions

    Robert R. Duda Jr.

    Employers seeking to enforce competition restrictions in Illinois federal court may take advantage of Bankers Life and Casualty Co. v. Miller by making a strong argument for a case-by-case assessment of whether there is sufficient consideration, rather than application of a bright-line test, say Robert Duda Jr. and Terry Smith of Faegre Baker Daniels LLP.

  • This Week In Congress: DHS Funding Looms In Recess

    Richard A. Hertling

    With the House and Senate in recess until Feb. 23, a number of issues compete for priority upon their return — including a possible vote to overturn President Obama’s anticipated Keystone Pipeline veto, nominations for U.S. Attorney General and head of the USPTO, the FCC's net neutrality rules, and an imminent deadline for Department of Homeland Security funding, say Richard Hertling and Kaitlyn McClure of Covington & Burling LLP.

  • It Is Tough To Beat Calif. On Noncompetes

    Ingrid Rechtin

    The Delaware Chancery Court's ruling in Ascension Insurance Holdings LLC v. Underwood confirms that it is extremely difficult to obtain an enforceable noncompetition covenant against a California employee or resident. Employers seeking noncompetes against California employees should not rely on choice of law provisions to render an unenforceable noncompete enforceable, say Ingrid Rechtin and Angi Li of Covington & Burling LLP.