Insurance Law

Judge Says Lloyd’s Must Defend Allen Stanford in Alleged $7B Scheme, Under D&O Policies

Accused of operating a $7 billion Ponzi scheme under the guise of running his Texas-based investment company, billionaire R. Allen Stanford has been fighting to force renowned insurer Lloyd’s of London to defend him and other executives on related criminal charges. Today, in a ruling by a federal judge in…

Jan 27, 2010 1:59 AM CST

Billionaire Stanford & His Lawyers Held in Contempt Over Legal Fees Suit

Granting a motion filed by insurer Lloyd’s of London, a federal judge in Dallas today found billionaire and accused swindler R. Allen Stanford and his counsel in contempt. They violated a court order, found U.S District Judge David Godbey, by attempting to collect reimbursement for Stanford’s defense costs under a…

Dec 16, 2009 10:51 PM CST

Silver Lining for DUI Driver: Tax Court Allows $33K Writeoff for Totaled Truck

Expecting to drink at a party several years ago, Justin Rohrs arranged a ride home in advance with another driver. But after he got home, he decided to drive over to his parents’ home in the Ford F-350 pickup he’d paid about $40,000 for only months earlier. En route, he…

Dec 16, 2009 2:10 AM CST

Feds Arrest 30, Including Doctors, in 3-State Medicare Fraud Sweep

Federal authorities have reportedly begun rounding up 30 suspects, including doctors and nurses, in a three-state Medicare fraud sweep. Arrests are expected Brooklyn, N.Y., Detroit and the Miami-Dade area in Florida, reports the Miami Herald. South Florida is the epicenter of the problem nationally, which generally involves bribes paid for…

Dec 15, 2009 8:48 PM CST

Over Body-Freezing Co.‘s Objection, Judge OKs Autopsy of Client’s Corpse

Concerning that a client’s corpse is “decomposing by the minute,” a cryogenics company today asked a Florida judge to stop a planned autopsy to determine why a 48-year-old Navy veteran died last week. But Hillsborough Circuit Judge Martha Cook denied the emergency petition by Alcor Life Extension Foundation, saying that…

Dec 10, 2009 9:29 PM CST

Court Fines Insurer & Lawyer for Appealing Duty to Defend

An insurance company that not only refused its contractual duty to defend a policyholder but appealed a trial court’s ruling that the duty to defend was not a close case has been hit with a $2,500 sanction by a Georgia appellate court. And Atlanta attorney Dennis Brown of Buckley Brown…

Nov 25, 2009 12:34 AM CST

Federal PD Wins Health Costs for Same-Sex Spouse in ‘Legal End-Run’

A federal public defender, thwarted in an earlier effort to enroll his same-sex spouse in his employer’s health coverage plan, has won a ruling requiring his employer to pay him for the costs of obtaining outside insurance. The Los Angeles Times calls the ruling by Judge Stephen Reinhardt of the…

Nov 19, 2009 3:00 PM CST

4 Lawyers Accused in Major Ins. Fraud; Geragos Blames AIG for Client’s Situation

Four California lawyers have been criminally charged, along with four chiropractors and 20 other defendants, in a Los Angeles auto insurance fraud prosecution that could get much larger. Defendant attorneys John Akopian, 37, of Glendale; Edward Leonid Katsnelson, 50, of Corona; Leon Rubin Laufer, 57, of Beverly Hills; and Stephen…

Oct 29, 2009 12:18 AM CDT

Undisclosed Risk Nixes Pepper Hamilton’s $10M Excess Insurance in Malpractice Case

Two excess insurers for Pepper Hamilton don’t have a duty to indemnify the law firm and a partner in a malpractice case. That’s because they didn’t disclose a known risk of litigation to the carriers before the $10 million contract of umbrella coverage was issued, says New York’s top court.…

Oct 21, 2009 8:00 PM CDT

Law Firm to Pay $1.5M to Settle Claims That Ex-Associate Dropped Cases

A Connecticut plaintiffs firm has agreed to pay $1.5 million to settle claims by two former clients that an ex-associate dropped the ball on their cases. Ex-associate James Sullivan, who left the law firm of Kevin Maher and Scott Williams in 2007 to operate a ski resort in Vermont, allegedly…

Oct 19, 2009 10:22 PM CDT

Stanford’s D&O Coverage Can Pay for Private Counsel in $7B Case, Judge Rules

it looks like Texas billionaire R. Allen Stanford may soon have a private lawyer again. After his assets were frozen, he couldn’t afford to pay legal counsel and had to get a public defender. But today U.S. District Judge David Godbey, who sits in Dallas, said he and other executives…

Oct 9, 2009 10:26 PM CDT

Recruiter Got Zip in 12-Lawyer Leap, Now Seeks $100M in Federal Suit

A legal recruiter has sued Los Angeles-based Lewis Brisbois Bisgaard & Smith for $100 million in actual and punitive damages, contending that the 700-attorney law firm squeezed C.B. Legal Search LLC out of a 12-attorney placement deal it helped orchestrate. In March, C.B. Legal Search introduced partner Edward Ruberry of…

Oct 7, 2009 6:16 PM CDT

Insurers Lose Bid to Rescind Milberg Liability Coverage

A Manhattan federal judge has ruled three insurers can’t seek to rescind liability coverage for the Milberg law firm because they filed suit too late. Three insurers had sued Milberg nd four former partners in August 2008 in an effort to recover $4.8 million paid for defense costs and claims,…

Oct 2, 2009 6:33 PM CDT

Insurer Drops Discounts for Churchgoers in Fair Housing Settlement

The GuideOne Mutual Insurance Co. has agreed to drop special discounts for churchgoers as part of a settlement with the U.S. Justice Department. The government complaint alleged the Iowa insurer violated the Fair Housing Act by offering the discounts to renters and homeowners who were “churchgoers” and “persons of faith,”…

Sep 29, 2009 6:24 PM CDT

Sued for Malpractice, Law Firm Must Now Fight for Insurance Coverage

Two lawyers in a Washington, D.C., firm already were facing a $10 million malpractice claim over a tax shelter matter when their situation changed for the worse. Now their insurance carrier, Carolina Casualty Insurance Co., is seeking a declaratory judgment that it doesn’t have to defend the claim. It contends…

Sep 28, 2009 6:06 PM CDT