Judge Silences State Farm’s Outcry Over SBA Loans

Law360, New York (May 9, 2007, 12:00 AM EDT) -- A federal judge has rejected a motion sought by State Farm Fire and Casualty Co. to dismiss a lawsuit on the grounds that the policyholders in question had already received a small business administration loan to address their Hurricane Katrina losses.

On Monday, U.S. District Judge L.T. Senter denied the request, saying that the insurer had failed to make a compelling argument for tossing out the suit.

"I find no merit in State Farm's contention that the assignment of these insurance proceeds deprives the plaintiffs, the...
To view the full article, register now.