Specialty Lines

  • January 23, 2024

    Candy Maker Wants $5M Recall Coverage Suit Tossed

    A Texas-based candy company urged a New York federal court to either toss an insurer's lawsuit seeking to avoid coverage for a nearly $5 million recall over metal fragments found in certain gummy candies or transfer the case to Texas, where the company sued its insurer.

  • January 22, 2024

    Insurer Can Proceed With $1.7M Settlement Contribution Suit

    Viad Corp. can't escape an insurer's suit seeking to recover $1.7 million of a nearly $160 million settlement with the state of Montana, a Nebraska federal court ruled Monday, finding the insurer plausibly alleged that the company could be liable under a reinsurance contract.

  • January 22, 2024

    Insurer Says Dive Shop Not Covered For Boat Propeller Injury

    Dan Risk Retention Group Inc. has asked a Florida federal court to declare that it does not have to defend a scuba dive operator in a suit filed by a diver whose arm was injured by a boat propeller during a dive.

  • January 22, 2024

    No Coverage For Facility Under Canceled Policy, Insurer Says

    An insurer told an Oklahoma federal court that an assisted living facility is not owed coverage for a suit over a resident's fall, saying the facility's commercial multiperil policy was canceled for nonpayment days before the underlying suit was filed.

  • January 22, 2024

    Southwest's 5th Circ. Win Broadens Scope Of Cyber Coverage

    Policyholders and Southwest Airlines alike notched an important win when a Fifth Circuit panel undid a ruling barring excess cyber insurance coverage for costs stemming from the airline's 2016 computer network failure, potentially expanding the scope of cyber coverage.

  • January 22, 2024

    Oil Services Co. Seeks Refinery Pollution Coverage

    A Chapter 11 liquidating trustee for the estate of a company that stored and refined crude oil in the U.S. Virgin Islands has sued the firm's pollution liability insurers in Texas bankruptcy court, requesting millions of dollars in coverage for putative class actions accusing the debtor of causing pollution damage.

  • January 22, 2024

    Lockton Can Proceed With Poaching Suit Against Rival

    A Missouri federal court has kept alive insurance brokerage Lockton's lawsuit accusing its former higher-ups of conspiring with California-based competitor Alliant in a poaching scheme, saying the competitor cannot escape a forum-selection clause that was in the former elites' contracts.

  • January 22, 2024

    Smucker's, Insurer Want $8M For Fire Smoldering Nut Sparked

    Smucker's and its insurer are seeking to recoup $8 million for fire damages at a peanut butter factory, saying a refrigerator repair technician's mistake led to an evacuation that left no personnel there to extinguish the fire, according to a suit removed Friday to Kentucky federal court.

  • January 22, 2024

    Condo To Tell 6th Circ. Insurer Must Cover Resident Suits

    A Detroit condominium association said it will urge the Sixth Circuit to reverse a Michigan federal court's ruling that its insurer does not owe it coverage for underlying suits over damaged fences, defamation and legal fees.

  • January 19, 2024

    Law360 Names Firms Of The Year

    Eight law firms have earned spots as Law360's Firms of the Year, with 55 Practice Group of the Year awards among them, steering some of the largest deals of 2023 and securing high-profile litigation wins, including at the U.S. Supreme Court.

  • January 19, 2024

    Law360 Names Practice Groups Of The Year

    Law360 would like to congratulate the winners of its Practice Groups of the Year awards for 2023, which honor the attorney teams behind litigation wins and major deals that resonated throughout the legal industry this past year.

  • January 19, 2024

    Insurer Says Colo. Policy Spat 'Intertwined' With Atty Blunders

    The primary insurer for a Colorado climbing gear company said an excess insurer's bid to get out of liability for a climber's injuries should be heard in a Washington state malpractice suit, arguing in a motion that the policy dispute is "intertwined" with lawyer misconduct in the underlying product liability case.

  • January 19, 2024

    Club Shooting Victim Seeks Toss Of Insurer's Coverage Fight

    The victim of a 2019 shooting at a South Carolina nightclub urged a federal court Friday to toss a suit brought by the club's insurer over coverage for an $18.1 million default judgment, saying any ruling regarding the carrier's coverage obligations under the policy is moot.

  • January 19, 2024

    Insurance Mogul Fights Spending Clampdown In $524M Fight

    Embattled insurance mogul Greg Lindberg has pressed a North Carolina federal court to scrap a bid by an insurer, which won a $524 million judgment against him, to stop him from spending his money, arguing that the insurer had the same financial restriction overturned in a state court.

  • January 19, 2024

    Proposed $350B Federal Reinsurance Program Draws Scrutiny

    A proposed national reinsurance program lacks important details for legislation that would dramatically change the federal government's role in insurance markets, experts said, while offering competing ideas about whether such a program is needed at all.

  • January 19, 2024

    Md. Atty Seeks En Banc Review By 4th Circ. On Defense Costs

    A Maryland attorney asked the Fourth Circuit to reconsider a panel's decision saying he is not entitled to defense costs from his firm's insurer after being indicted on allegations he seized $13 million in Somalian government funds, arguing the decision undermines "the very purpose" of professional liability insurance.

  • January 19, 2024

    Insurer Resolves Damaged Goods Coverage Row Out Of Court

    An insurer abandoned its request in New York federal court for a second shot at freeing itself from defending a warehouse over a stored merchandise dispute, instead resolving the issue outside of court and stipulating the case's dismissal after months of delays.

  • January 19, 2024

    Progressive Hit With $5M Data Breach Class Action

    Progressive Casualty Insurance Co. was hit with a data breach class action in South Carolina federal court accusing the insurer of leaving customers' personal information vulnerable to hackers and risking them more than $5 million in damages.

  • January 18, 2024

    Title Co. Says It's Owed Defense In $700K Wire Mishap Suit

    A title company told a Florida federal court that Nationwide unit Scottsdale Indemnity Co. wrongfully refused to cover its defense in a suit over nearly $700,000 in property sale proceeds the company is accused of wiring to a third party instead of the seller.

  • January 18, 2024

    Yacht Owner Demands Insurer Cover $240K Engine Rebuild

    The owner of a $3.5 million yacht told a Florida federal court Thursday that its insurer breached its contract by failing to pay for more than $240,000 in water damage to its engine.

  • January 18, 2024

    Contempt Looms For Husband In IP Fight Over Insurance Co.

    The North Carolina Business Court has demanded that the husband of an insurance agency owner return her business assets as required by a previous order or face civil contempt proceedings as part of an intellectual property lawsuit embroiling the couple.

  • January 18, 2024

    Realty Co. Seeks $8.2M For Failed Merger Defense Costs

    A Hartford unit owes over $8.2 million in damages stemming from a merger gone awry between its insured and real estate giant Simon Property Group, the insured said in a complaint removed Thursday to a Delaware federal court, maintaining that it properly exhausted all other limits of coverage.

  • January 18, 2024

    Insurers, Flooring Co. Notch Partial Win Over Gym Fire Suit

    A high school that accused a flooring company of causing a gym fire cannot seek damages related to gym improvements, higher insurance costs and mental anguish, a Louisiana federal court ruled, stopping short of deciding whether the school retains standing to sue the company or the company's insurers to begin with.

  • January 18, 2024

    Burger King Franchisee Says It's Owed Defense For BIPA Suit

    A Burger King franchisee said its umbrella insurance carrier owes coverage for a class action accusing the franchisee of violating Illinois' Biometric Information Privacy Act, telling a federal court that the insurer has ignored it since receiving notice of the underlying action.

  • January 17, 2024

    Wash. Law Firm Says Travelers Must Cover Employee Theft

    Seattle law firm Karr Tuttle Campbell has sued Travelers Indemnity Company of Connecticut in Washington federal court, accusing the insurer of violating the state's consumer protection law by denying coverage after a former firm employee allegedly made $136,000 in unauthorized charges on a credit card.

Expert Analysis

  • Anti-Kickback Circuit Split Holds Implications For Defendants

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    The Eighth Circuit's recent decision in U.S. v. D.S. Medical represents a significant step toward holding plaintiffs to more exacting burdens of proof in Anti-Kickback Statute False Claims Act suits, and the outcome of the resulting circuit split could decrease estimated damages for defendants, say attorneys at Gibson Dunn.

  • 8th Circ. Ruling Raises Bar For Anti-Kickback FCA Claims

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    The Eighth Circuit's decision in U.S. v. D.S. Medical makes it more difficult for plaintiffs to claim that a violation of the Anti-Kickback Statute supports False Claims Act liability, but an emerging circuit split and uncertainty regarding evidentiary requirements must be considered when developing a defense strategy, say attorneys at Winston & Strawn.

  • Insurance Tips For Cos. Offering Reproductive Health Benefits

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    Post-Dobbs state laws allowing legal action against anyone who facilitates an abortion could lead to claims against employers providing reproductive health benefits, so companies must ensure their insurance policies afford sufficient protection for any novel claims, say Heather Habes and Gretchen Hoff Varner at Covington.

  • Texas Tax Talk: Ruling May Erode Pro-Taxpayer Presumption

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    Following the recent Texas Supreme Court opinion in Hegar v. Health Care Service, the state comptroller may try to limit the utility of a long-standing presumption that ambiguous tax statutes must be construed strictly against the taxing authority and liberally for the taxpayer, say attorneys at Baker Botts.

  • Understanding Legal Considerations In Cannabis M&A Deals

    Excerpt from Practical Guidance
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    Zachary Turke and Peter Park at Sheppard Mullin discuss the unique set of challenges for both buyers and sellers in cannabis industry merger and acquisition deals, given the rapidly changing economic conditions, the ever-changing regulatory landscape and new market entrants.

  • Cybersecurity Basics Are Key to Combating Ransomware

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    Recent prohibitions on ransom payments and other public policy measures vastly underestimate the breadth and complexity of the ransomware problem and will only work if organizations adopt basic cyber defenses, says Kate Margolis at Bradley.

  • How M&A Insurers Can Increase Smaller Deal Servicing

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    As the number of M&A deals in the $50 million to $200 million range continues to grow, lawyers, insurance brokers and clients must address the trend away from covering these smaller transactions by working together to make it easier for carriers to consider submissions and to insure these types of risks, says Hilary Weiss at Liberty Global.

  • Lessons From Calif. Liability Claim Recoupment Ruling

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    A recent California federal court decision in Evanston Insurance v. Winstar Properties illustrates the perils of insurer recoupment and underscores the importance of assessing recoupment rights, if any, throughout the claims process, say Geoffrey Fehling and Veronica Adams at Hunton.

  • Awaiting Critical Bankruptcy Decision For Surety Industry

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    The recent oral argument in Argonaut Insurance v. Falcon V offers the Fifth Circuit an opportunity to create a rule for multilateral contracts in bankruptcy and exposed the common misconception that a surety assumes the risk of the principal's nonperformance when it issues a bond, say Lisa Tancredi at Womble Bond and Laura Murphy at Travelers.

  • Bankruptcy Case May Help Define Surety Executory Contract

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    Next week’s Fifth Circuit oral argument in Argonaut Insurance v. Falcon V is of great interest to the surety industry as this case presents an opportunity for the court to address several unsettled questions on whether a tripartite arrangement, such as a surety bond program, is an executory contract for bankruptcy purposes, say Lisa Tancredi at Womble Bond and Laura Murphy at Travelers.

  • Assessing NFT Insurance Coverage Options And Gaps

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    Because non-fungible tokens do not come bundled with insurance policies, and until NFT-specific insurance policies become more common, NFT owners should proactively protect against risk by drawing upon existing frameworks, despite potential coverage gaps, say Brian Scarbrough and Edward Crouse at Jenner & Block.

  • Insurer Implications As 3 Climate Suits Return To State Courts

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    Three federal circuit courts recently remanded climate change lawsuits brought by state and local governments against major energy corporations back to state courts, where plaintiffs are more likely to succeed, thus significantly increasing their insurers' and reinsurers' exposure to defense costs and judgments, say José Umbert and Jason Reeves at Zelle. 

  • 6 Rulings Reinforce BIPA Coverage For Illinois Policyholders

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    Six well-reasoned recent decisions in the Northern District of Illinois have considerably strengthened policyholders’ arguments for commercial general liability coverage in lawsuits brought under the Illinois Biometric Information Privacy Act, say attorneys at Neal Gerber.