- Volume 10, Issue #4
- U.S. High Court Denies Insurance Broker's Petition In Negligence Lawsuit
WASHINGTON, D.C - The U.S. Supreme Court on June 2 denied an insurance broker's petition for a writ of certiorari regarding a decision overruling a lower court's finding that the broker could not be liable in negligence for failing to obtain insurance that would cover an underlying accident that occurred at an event held at a professional baseball game (CSI Insurance Group v. Cleveland Indians Baseball Co., No. 13-1154, U.S. Sup.; 2014 U.S. LEXIS 3877).
- No Special Relationship Between Insured, Brokers, Appeals Panel Concludes
BROOKLYN, N.Y. - An insured failed to establish a special relationship between him and his insurance brokers regarding a request for umbrella coverage, a New York appeals panel affirmed May 28, dismissing negligence and breach of contract claims (Hans Richard Lehneis Jr. v. Kathleen Neill, et al., No. 2012-11002, N.Y. Sup. App. Div., 2nd Dept.; 2014 N.Y. App. Div. LEXIS 3744).
- Federal Judge Remands Negligence Lawsuit Against Insurer, Insurance Agency
TACOMA, Wash. - Insureds may be able to assert a negligence claim against an insurance agency, a Washington federal judge held June 3, remanding a lawsuit over under insured motorist (UIM) coverage (John Creekmore and Larrilee Williams v. State Farm Mutual Automobile Insurance Co. and Debra Daniels Insurance Co., No. 14-5281, W.D. Wash.; 2014 U.S. Dist. LEXIS 76248).
- No Special Relationship Existed Between Insured, Insurance Agent, Panel Says
DETROIT - A special relationship did not exist between an insured and an insurance agent regarding a duty to advise on insurance coverage for a fire loss, a Michigan appeals panel ruled June 10, affirming summary judgment to the agent on a negligence claim (Shawn Collins v. Farm Bureau General Insurance Co. and Jayson Schoeberlein, No. 314522, Mich. App.; 2014 Mich. App. LEXIS 1064).
- No Assignment Of Claims Against Insurance Broker, Federal Judge Concludes
TAMPA, Fla. - There is no genuine issue of material fact as to whether an insured assigned his causes of action against an insurance broker for an alleged failure to procure excess coverage, a Florida federal judge ruled May 30, granting summary judgment to the broker (Vincent Mazzola, individually and as administrator of the estate of Theresa Mazzola v. Brown & Brown Inc., No. 13-1127, M.D. Fla.; 2014 U.S. Dist. LEXIS 73928).
- Insurance Agents Were Not Fraudulently Joined To Fraud Case, Magistrate Judge Says
JASPER, Ala. - Insurance agents were not fraudulently joined to insureds' fraud and breach of contract lawsuit against their homeowners insurer regarding denied coverage for a fire loss, an Alabama federal magistrate judge held May 28, remanding the lawsuit to state court (Kimberley Earley and Douglas Alexander v. Allstate Indemnity Co., et al., No. 13-02203, N.D. Ala.; 2014 U.S. Dist. LEXIS 72408).
- Federal Judge Declines To Dismiss Insurance Broker's Breach Of Contract Claim
OAKLAND, Calif. - An insurance brokerage firm has sufficiently asserted a claim for breach of contract based on a former employee's alleged breach of the employment agreement, a California federal judge ruled May 23 (Arthur J. Gallagher & Co. v. Christopher Lang, No. 14-0909, N.D. Calif.; 2014 U.S. Dist. LEXIS 71286).
- Magistrate Judge Dismisses Insurance Producer's Indemnification Claim
SCRANTON, Pa. - An insurer is not liable under an agreement between it and an insurance producer for indemnity to the producer for any breach of contract lawsuits filed by parties to the agreement, a Pennsylvania federal magistrate judge ruled May 13, denying a motion to reconsider the dismissal of the insurance producer's contractual indemnification counterclaim against the insurer (United Financial Casualty Co. v. A.M. Skier Agency Inc., et al., No. 13-1291, M.D. Pa.; 2014 U.S. Dist. LEXIS 66430).
- Superstorm Sandy Coverage Suit Will Proceed To Trial As Scheduled, Judge Says
NEW YORK - After reaffirming the denial of competing summary judgment motions in a Superstorm Sandy coverage dispute, a New York federal judge on May 28 announced that the lawsuit will proceed to trial on July 28 (Cammeby's Management Co., et al. v. Affiliated FM Insurance Co., et al., No. 13-2814, S.D. N.Y.; 2014 U.S. Dist. LEXIS 74917).
- Panel Upholds Permanent Injunction Against Insurance Broker's Former Employee
ATLANTA - The 11th Circuit U.S. Court of Appeals on May 29 affirmed a permanent injunction entered against a former employee of an insurance broker to enforce nondisclosure and noncompetition covenants in an employment agreement (Arthur J. Gallagher Service Co. and Risk Placement Services Inc. v. Thomas Egan, No. 13-14289, 11th Cir.; 2014 U.S. App. LEXIS 9888).