Mealey's Insurance Pleadings

  • August 16, 2022

    Insured Homeowners Association Says Coverage Owed For Hidden Damage

    SEATTLE — A homeowners association alleges in an Aug. 5 complaint filed in Washington federal court that its insurer breached its contract and acted in bad faith in denying coverage for hidden water damage in its condominium buildings.

  • August 16, 2022

    Insurer Says Single Occurrence Limit Must Be Applied To Underlying Asbestos Claims

    PITTSBURGH — A single occurrence limit should be applied to underlying asbestos claims filed against an insured because Pennsylvania courts have consistently found that claims for bodily injury caused by exposure to an asbestos-containing product constitute a single occurrence, an insurer says in its Aug. 4 motion for summary judgment filed in Pennsylvania federal court.

  • August 15, 2022

    Mortgagors Argue ‘Manifest Injustice’ In Appeal Over Class RESPA Suit

    SAN FRANCISCO — Seeking reversal of a decision denying modification of a final pretrial order (PTO), mortgagors in a long-running Real Estate Settlement Procedures Act (RESPA) class action over captive reinsurance agreements argue in a July 25 appellant brief before the Ninth Circuit U.S. Court of Appeals that a California federal court’s ruling “resulted in manifest injustice and was tantamount to case-ending sanctions.”

  • August 12, 2022

    Parties In Reinsurance Row Note Stipulation, Seek Stay Pending Mediation Attempt

    LOS ANGELES — Parties in a suit alleging breach of reinsurance contracts over billings for claims related to asbestos and other issues have negotiated a stipulation that “substantially narrows the range of disputes” and want the court to maintain its stay of all proceedings until Oct. 10 so they can attempt mediation, they told a California court in an Aug. 10 joint status report.

  • August 12, 2022

    Vizio Seeks 9th Circuit Review Of Coverage Dispute Over Smart TV Litigation Suit

    SAN FRANCISCO — Vizio Inc. on Aug. 10 filed a notice of appeal in the Ninth Circuit U.S. Court of Appeals challenging a lower federal court’s dismissal of its fourth amended complaint seeking defense and indemnity for an underlying $17 million settlement and defense costs arising from class claims over the insured’s unauthorized collections of consumers’ television viewing data.

  • August 11, 2022

    Insurer Appeals Subrogation Waiver Ruling In Negligence Suit To 3rd Circuit

    PHILADELPHIA — A commercial general liability insurer on Aug. 1 filed a notice of appeal in the Pennsylvania federal court, stating that it will appeal a July 1 opinion in which a judge ruled that insurers cannot bring claims against a contractor and subcontractor in a negligence lawsuit stemming from a property fire because the insurers are subrogees of the owners of the unit that was damaged and a homeowners association, who are subject to a valid subrogation waiver.

  • August 11, 2022

    Insurer Sues Actuary In Federal Court Over Alleged Scheme Involving Reinsurance

    GREENSBORO, N.C. — Alleging, with emphasis added, that an actuary “conspired with others to harm” North Carolina Mutual Life Insurance Co. and in so doing sent an email saying “‘please pillage in moderation,’” the company on June 30 filed a suit in North Carolina federal court asserting nine claims, including Racketeer Influenced and Corrupt Organizations Act (RICO) violations and fraud.

  • August 09, 2022

    Insurer: Court Should Sustain Objection In Defective Work Coverage Suit

    AUSTIN, Texas — A federal judge in Texas should sustain an insurer’s objection to a magistrate judge’s report and recommendation that the insurer’s summary judgment motion in a coverage dispute stemming from the contractor’s alleged defective work performed in a home construction project be denied because the magistrate judge erred in relying on certain evidence of damages to walls and floors that homeowners themselves alleged were defective, the insurer argues in an Aug. 8 reply brief filed in Texas federal court.

  • August 09, 2022

    Man Takes Dismissal Of Insurer’s RICO Claims Against Him To 2nd Circuit

    BROOKLYN, N.Y. — A man accused of taking part in a complex scheme to defraud Allstate Insurance Co. and several of its related affiliates on Aug. 8 appealed to the Second Circuit U.S. Court of Appeals a New York federal judge’s July 13 ruling adopting a magistrate judge’s recommendation and voluntarily dismissing the claims against him.

  • August 09, 2022

    Agreement Struck To Extend Objection Deadline On Rehab Plan For Reinsurer

    WILMINGTON, Del. — The receiver for Scottish Re (U.S.) Inc. in Rehabilitation (SRUS) and dozens of interested insurers agree that extending the deadline to object to a modified plan of rehabilitation from Aug. 15 to Oct. 1 “may aid to resolve or narrow objections,” they told a Delaware state court in an Aug. 5 joint stipulation.

  • August 09, 2022

    Reconsideration In ERISA Suit Sought, Fought Under Recent 6th Circuit Decisions

    GRAND RAPIDS, Mich. — Citing two recent Sixth Circuit U.S. Court of Appeals decisions, the defendants in a putative Employee Retirement Income Security Act class action on July 19 moved in Michigan federal court for partial reconsideration of an August 2021 order or, alternatively, certification for interlocutory appeal; in Aug. 4 opposition, the plaintiffs contend that the Sixth Circuit “decisions do not constitute intervening changes in controlling law.”

  • August 08, 2022

    Amicus: Precedent Misapplied In Granting Lender Summary Judgment In FCA Suit

    CHICAGO — A federal judge in Indiana erred in granting summary judgment against a relator in a False Claims Act (FCA) lawsuit in which the relator alleged that a mortgage lender fraudulently approved insurance for Federal Housing Authority Administration (FHA) loans that did not meet U.S. Department of Housing and Urban development requirements because the judge improperly ruled that the relator failed to plead the elements of materiality and causation in stating her claims, the U.S. government argues in an Aug. 1 brief as amicus curiae filed in the Seventh Circuit U.S. Court of Appeals.

  • August 05, 2022

    Insurer Objects To Magistrate’s Recommendations In Construction Coverage Suit

    AUSTIN, Texas — A commercial general liability insurer filed an objection in Texas federal court on July 18, arguing that a federal magistrate judge’s recommendation that the insurer’s motion for summary judgment in a coverage dispute stemming from a contractor’s alleged defective work performed in a home construction project be denied was erroneous for a number of reasons.

  • August 02, 2022

    Pro Se Claimant Files Complaint In Boy Scouts Bankruptcy Suit After Plan Ruling

    WILMINGTON, Del. — Two days after a Delaware federal bankruptcy judge ruled on the Boy Scouts of America’s Chapter 11 reorganization plan that contemplates the creation of a settlement trust to “assume liability for all Abuse Claims,” a pro se claimant and victim on July 31 filed a declaratory judgment complaint alleging that “several matters and misunderstandings still need to be addressed.”

  • August 01, 2022

    Government Petitions To Enforce Summonses In Microcaptive Insurance Probe

    SHERMAN, Texas — Alleging failure to fully comply with administrative summonses issued during an Internal Revenue Service investigation involving purported “micro-captive” insurance transactions, the U.S. federal government on July 27 petitioned a Texas federal court to enforce those summonses against three entities and the person who is “their owner and/or principal officer.”

  • August 01, 2022

    Government To High Court: Securities Fraud Convictions Ruling Doesn’t Merit Review

    WASHINGTON, D.C. — In a recent amicus curiae brief citing “common law tradition,” an assistant professor of law urged the U.S. Supreme Court to grant review sought by two former hedge fund executives convicted of securities fraud in an alleged scheme that involved a reinsurer and related entities; on July 27, the government argued that the petition “arises in an interlocutory posture” and that the challenged ruling “does not conflict with any decision of this Court or another court of appeals.”

  • August 01, 2022

    Insured Appeals Ruling In Favor Of Insurers In Suit Arising From Opioid Epidemic

    SAN FRANCISCO — A prescription drug distributor insured on July 27 filed a notice of appeal in a federal California court asking the Ninth Circuit U.S. Court of Appeals to review the lower court’s ruling that underlying lawsuits prompted by the opioid epidemic fail to allege an “accident” under California law.

  • August 01, 2022

    Coronavirus Is Not A Pollution Condition, Insurer Tells 4th Circuit

    ALEXANDRIA, Va. — A district court properly found that no coverage is owed to insureds for business interruption losses sustained as a result of the coronavirus because the virus does not qualify as a pollution condition under the premises pollution liability policy, the insurer maintains in a July 27 appellee brief filed in the Fourth Circuit U.S. Court of Appeals.

  • July 29, 2022

    Relators Reinforce Appeal In Suit Alleging Employer Fraudulently Billed Medicare

    PHILADELPHIA — In a July 21 reply brief filed in the Third Circuit U.S. Court of Appeals, relators reiterated their argument seeking reversal of a Pennsylvania federal court’s summary judgment ruling in favor of their former employer in their lawsuit alleging that it fraudulently billed Medicare and Medicaid by admitting and recertifying patients for hospice who were not actually eligible for hospice, contending that the Centers for Medicare & Medicaid Services (CMS) “has made clear that the requirement of medical record documentation supporting hospice certification is a substantial requirement.”

  • July 28, 2022

    Coverage Owed By Insurer For Contamination Claims, Other Insurer Contends

    SEATTLE — An insurer has a duty to provide coverage to its insured for environmental contamination claims and to reimburse one of the insured’s other insurers for costs paid toward the environmental contamination claims, the other insurer claims in a July 26 complaint filed in Washington federal court.