State Farm Policyholders Win Class Cert. In $1B RICO Suit

Law360, Los Angeles (September 16, 2016, 11:38 PM EDT) -- An Illinois federal judge Friday certified a class of State Farm policyholders who had filed a Racketeer Influenced and Corrupt Organizations Act suit against the insurer and several others that allegedly funneled money into a state judge’s election campaign to evade payment of a $1 billion judgment.

On behalf of a class of 4.7 million policyholders, named plaintiffs Mark Hale, Todd Shadle and Laurie Loger allege that State Farm Mutual Automobile Insurance Co. and others carried out a RICO enterprise to defraud the policyholders of a $1.05 billion judgment by flexing its financial muscle to help elect a judicial candidate to...

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