Insurers Can't Rely on Exclusion Language, Panel Says
An effort by insurers to disclaim more than $260 million in coverage stemming from settlements paid out in a 2006 securities fraud case by Bear Stearns was dealt a setback by the First Department Thursday. But the panel kept alive an effort by the insurers to disclaim the coverage on public policy grounds.
January 15, 2015 at 05:31 PM
4 minute read
The original version of this story was published on Law.com
An effort by insurers to disclaim more than $260 million in coverage stemming from settlements paid out in a 2006 securities fraud case by Bear Stearns was dealt a setback by the Appellate Division, First Department, Thursday.
But the unanimous panel kept alive an effort by the insurers to disclaim the coverage on public policy grounds.
Ruling for the second time in J.P. Morgan Securities v. Vigilant Insurance, 600979/09, the panel, upholding a ruling by Commercial Division Justice Charles Ramos (See Profile), found that the insurers were not entitled to rely on the policy's exclusion language barring indemnification for fraudulent acts where a “final adjudication shall establish” the claimants “were guilty of any deliberate, dishonest, fraudulent or criminal act or omission.”
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View All
Decision of the Day: Firm, Founding Partner Disqualified From Probate Case Amid Investigation on Undue Influence Claim
Decision of the Day: District Judge Vacates Magistrate's Ruling to Disqualify Prosecutors in Kidnapping Case
Labaton’s Eric Belfi on Running Case Investigation, Analysis and Delaware Presence
Trending Stories
- 1House Passes Bill to Add Federal Judgeships in Face of Biden Veto Threat
- 2As AI-Generated Fraud Rises, Financial Companies Face a Long Cybersecurity Battle
- 3Texas Lawyer, Client Sued for $10 Million Over Bitcoin Mining Deal
- 4Final Misconduct Hearing Date Impending for Fulton Judge
- 5Senate Panel Postpones Vote on Reconfirmation of Democrat Crenshaw to SEC
Who Got The Work
Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
Who Got The Work
Edmund Polubinski and Marie Killmond of Davis Polk & Wardwell have entered appearances for data platform software development company MongoDB and other defendants in a pending shareholder derivative lawsuit. The action, filed Oct. 7 in New York Southern District Court by the Brown Law Firm, accuses the company's directors and/or officers of falsely expressing confidence in the company’s restructuring of its sales incentive plan and downplaying the severity of decreases in its upfront commitments. The case is 1:24-cv-07594, Roy v. Ittycheria et al.
Who Got The Work
Amy O. Bruchs and Kurt F. Ellison of Michael Best & Friedrich have entered appearances for Epic Systems Corp. in a pending employment discrimination lawsuit. The suit was filed Sept. 7 in Wisconsin Western District Court by Levine Eisberner LLC and Siri & Glimstad on behalf of a project manager who claims that he was wrongfully terminated after applying for a religious exemption to the defendant's COVID-19 vaccine mandate. The case, assigned to U.S. Magistrate Judge Anita Marie Boor, is 3:24-cv-00630, Secker, Nathan v. Epic Systems Corporation.
Who Got The Work
David X. Sullivan, Thomas J. Finn and Gregory A. Hall from McCarter & English have entered appearances for Sunrun Installation Services in a pending civil rights lawsuit. The complaint was filed Sept. 4 in Connecticut District Court by attorney Robert M. Berke on behalf of former employee George Edward Steins, who was arrested and charged with employing an unregistered home improvement salesperson. The complaint alleges that had Sunrun informed the Connecticut Department of Consumer Protection that the plaintiff's employment had ended in 2017 and that he no longer held Sunrun's home improvement contractor license, he would not have been hit with charges, which were dismissed in May 2024. The case, assigned to U.S. District Judge Jeffrey A. Meyer, is 3:24-cv-01423, Steins v. Sunrun, Inc. et al.
Who Got The Work
Greenberg Traurig shareholder Joshua L. Raskin has entered an appearance for boohoo.com UK Ltd. in a pending patent infringement lawsuit. The suit, filed Sept. 3 in Texas Eastern District Court by Rozier Hardt McDonough on behalf of Alto Dynamics, asserts five patents related to an online shopping platform. The case, assigned to U.S. District Judge Rodney Gilstrap, is 2:24-cv-00719, Alto Dynamics, LLC v. boohoo.com UK Limited.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250
