Judge Stays Indemnification Issue In Coverage Suit Over False Claims Allegations

Mealey's (October 14, 2020, 11:05 AM EDT) -- ASHEVILLE, N.C. — A chief federal judge in North Carolina on Oct. 13 stayed all proceedings as to whether an insurer has a duty to indemnify its insured against an underlying qui tam lawsuit alleging that it submitted false or fraudulent claims to Medicare pending the outcome of the underlying lawsuit, but refused to stay the lawsuit as to the insurer’s duty to defend (Those Certain Underwriters at Lloyd's, London v. Medical Fusion, LLC, et al., No. 20-00041, W.D. N.C., 2020 U.S. Dist. LEXIS 189617)....