David Lerner Loses Coverage For FINRA, Class Claims

Law360, New York (April 2, 2013, 1:54 PM EDT) -- An insurer on Friday beat David Lerner Associates Inc.'s attempt to win coverage for three class actions and a regulatory proceeding that led to a $14 million fine, after a New York judge ruled the brokerage's policy excluded claims that it misled investors in a real estate investment trust.

Ruling for Philadelphia Indemnity Insurance Co., U.S. District Judge Joseph Bianco held that a professional services exclusion applied to claims brought by private plaintiffs and the Financial Industry Regulatory Authority over DLA's work as the managing dealer...
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