LexisNexis® Legal Newsroom
Mealey's Insurance - Connecticut Federal Judge Says Disability Claimant Is Entitled To Attorney Fees

NEW HAVEN, Conn. - A disability claimant is entitled to more than $40,000 in attorney fees because the claimant achieved some success on the merits as her claim for benefits was remanded to the plan administrator, a Connecticut federal judge said April 14 (Jennifer Dwinnell v. Federal Express Long Term...

Mealey's Insurance - New York Justice Rules Against Insurers In Dispute Over Bear Stearns' Settlement

NEW YORK - A New York justice on April 17 ruled against insurers in a lawsuit seeking indemnification from them for claims stemming from Bear Stearns' settlement of Securities and Exchange Commission and New York Stock Exchange (NYSE) regulatory proceedings and private litigation over claims that...

Mealey's Insurance - Insurer Did Not Act In Bad Faith In Storm Damage Dispute, 10th Circuit Affirms

DENVER - The 10th Circuit U.S. Court of Appeals on April 19 rejected insureds' argument that an insurer acted in bad faith by unreasonably delaying an appraisal and by failing to conduct an adequate claim investigation, affirming a lower federal court's ruling in favor of the insurer (Hayes Family...

Mealey's Insurance - Insured's Bad Faith Suit Barred By Statute Of Limitations, Judge Rules

TAMPA, Fla - An insured's bad faith claim is based on his insurer's alleged breach of its fiduciary duty to him and is, thus, subject to a four-year statute of limitations, a federal judge in Florida ruled April 18 in granting the insurer' motion to dismiss (Waldermar Baranowski v. GEICO...

Mealey's Insurance - 11th Circuit: Insurer Owes No Defense, Indemnity For Negligent Home Inspection

ATLANTA - A commercial general liability insurer had no duty to defend or indemnify a home inspector against allegations that an insufficient inspection failed to discover defective conditions prior to a home sale, the 11th Circuit U.S. Court of Appeals affirmed April 17, finding that the inspector's...

Mealey's Insurance - Insurer Says It Is Challenging Decision That Favors Its Reinsurer

NEW YORK - An insurer told a federal court in New York on April 19 that it is appealing the court's decision that vacated a reinsurance arbitration award because of the actions of an arbitrator (Certain Underwriting Members at Lloyd's, London v. Insurance Company of the Americas, No. 16-cv-00323...

Mealey's Insurance - Disability Claimant Failed To Exhaust Administrative Remedies, Judge Says

COVINGTON, Ky. - A Kentucky federal judge on April 17 granted a disability insurer's motion to dismiss the claims alleged against it by a disability claimant after determining that the claimant did not exhaust her administrative remedies because she did not file an administrative appeal within the...

Mealey's Insurance - New York Federal Judge Grants Insurers' Motion To Withdraw Bankruptcy Reference

NEW YORK - A New York federal judge on April 17 granted a motion filed by two insurers to withdraw an insured's adversary proceeding from bankruptcy court because the bankruptcy court does not have the authority to decide the breach of contract and bad faith claims alleged against the insurers in...

Mealey's Insurance - New York Federal Judge Says Dismissal Of Insured's Suit Is Not Appropriate

UTICA, N.Y. - Dismissal of an insured's pro se lawsuit seeking coverage for water and mold damages is not appropriate because the insured attempted to timely file the suit within the policy's two-year limitations period, a New York federal judge said April 19 (Edmund Sanderson v. First Liberty...

Mealey's Insurance - Reinsured Says Court Correctly Confirmed Reinsurance Arbitration Award

NEW HAVEN, Conn. - An insurer told a federal court in Connecticut on April 18 that a motion for reconsideration of the confirmation of an arbitration award should not be granted because there was no manifest injustice in the confirmation decision (General Re Life Corporation v. The Lincoln National Life...

Mealey's Insurance - Pennsylvania Court Says Continuous Trigger Applies In Environmental Dispute

HARRISBURG, Pa. - The Pennsylvania Commonwealth Court on April 21 adopted an insured's application of a continuous trigger of coverage rather than the insurer's application of a first manifestation trigger of coverage in an environmental contamination coverage dispute after determining that environmental...

Mealey's Insurance - Panel: Professional Liability Insurer Is Equitably Estopped From Denying Coverage

DENVER - The 10th Circuit U.S. Court of Appeals held April 18 that an insurer is estopped from denying coverage under a professional liability insurance policy for an underlying arbitration brought against an investment advisor insured, affirming a lower court's $931,859.59 judgment in favor of the...

Mealey's Insurance - Judge: Insured Failed To Show Reconsideration In Bad Faith Suit Warranted

INDIANAPOLIS - An insured failed to show that any manifest error of law or fact exists that would require amendment of three previous orders in an insurance bad faith lawsuit, a federal judge in Indiana ruled April 18 in denying the insured's motion for reconsideration of three earlier rulings in...

Mealey's Insurance - Failure To Pay Judgment Constitutes Bad Faith, Federal Judge Determines

SEATTLE - A Washington federal judge on April 19 granted an insured's motion for summary judgment after determining that the insured presented sufficient evidence that the insurer's failure to pay a judgment entered in favor of the insured constitutes bad faith (Arika Prince v. State Farm Mutual...

Mealey's Insurance - Louisiana Federal Judge Says Insured Failed To Prove Damage Was Covered

NEW ORLEANS - Because an insured failed to prove that heavy rains caused engine damage to a recreational vehicle and because the insured failed to submit a proof of loss for the claim, a Louisiana federal judge on April 19 granted the insurer's motion for summary judgment on the insured's claims...

Mealey's Insurance - 3rd Circuit Says Asbestos Exclusion Is Enforceable, Insurer Owes No Coverage

PHILADELPHIA - The Third Circuit U.S. Court of Appeals on April 21 reversed a $36 million judgment entered against an insurer in an asbestos coverage dispute after determining that an asbestos exclusion is not ambiguous and bars coverage for underlying asbestos-related claims filed against the insured...

Mealey's Insurance - Insurer Did Not Impermissibly Depreciate Labor Costs, 10th Circuit Affirms

DENVER - The 10th Circuit U.S. Court of Appeals on April 21 affirmed a lower federal court's finding that a homeowners insurer did not violate its policy when it depreciated labor costs in determining the actual cash value of an insured's loss following hail and water damage (Margaret Graves...

Mealey's Insurance - Appeals Court Affirms Judge's Decision To Convict Woman For Insurance Fraud

DALLAS - A Texas appeals panel on April 20 upheld a trial court judge's decision to revoke a woman's sentence for four years of community supervision and sentence her to 10 years in prison for insurance fraud, ruling that there was sufficient evidence showing that she committed a new offense...

Mealey's Insurance - Business Pursuits Exclusion Bars Coverage For Defamation Lawsuit, Judge Rules

EAST ST. LOUIS, Ill. - An Illinois federal judge on April 19 found that a homeowners insurance policy's "business pursuits" and "civic or public activities performed for pay" exclusions bar coverage for underlying defamation and false light claims brought against its insured,...

Mealey's Insurance - High Court Refuses To Review Ruling On Remand Of Disability Benefits Claim

WASHINGTON, D.C. - The U.S. Supreme Court on April 24 denied a disability claimant's petition for writ of certiorari, refusing to review the Sixth Circuit U.S. Court of Appeals' decision that that the remand of a disability retirement claim was not an abuse of discretion or a violation of a previous...

Mealey's Insurance - Government Is Not Required To Make Future Payments After Insurer's Insolvency

WASHINGTON, D.C. - While the U.S. government contracted to purchase annuities to make future, monthly and periodic lump-sum payments under a settlement agreement, the government did not guarantee that it would make the future payments in the event of an insurer's insolvency, a judge in the U.S. Court...

Mealey's Insurance - Insurer Intervenes In Suit Alleging Sexual Assault By Rutgers Football Player

TRENTON, N.J. - A homeowners insurer filed a declaratory judgment complaint in federal court in New Jersey on April 21 after intervening in a lawsuit alleging that two Rutgers University students, including one football player, sexually assault another student on campus (K.L. v. Rutgers, The State University...

Mealey's Insurance - State Farm Tells Texas Supreme Court ESI Protocol Is Burdensome

AUSTIN, Texas - In an April 21 brief to the Texas Supreme Court, filed in response to a post-oral argument brief by the real parties in interest in a dispute over the discovery submission form for electronically stored information (ESI) in an insurance coverage lawsuit, an insurer argues that a trial...

Mealey's Insurance - Investment Solicitation Falls Outside Policy's Definition Of 'Professional Services'

PASADENA, Calif. - The Ninth Circuit U.S. Court of Appeals on April 25 found that an investment solicitation by an insured fell outside a professional liability insurance policy's definition of covered "professional services," affirming a lower court's summary judgment ruling in favor...

Mealey's Insurance - Removal Of Construction Defects Suit Not Proper, California Federal Judge Says

LOS ANGELES - A California federal judge on April 21 granted an insurer's motion to remand after determining that removal was improper because complete diversity of citizenship may not exist as there is a possibility that several defendants in the construction defects suit, originally filed in California...