On November 7, 2007, former Louisiana Attorney General Charles C. Foti, Jr. filed a lawsuit in the Civil District for the Parish of Orleans alleging that under Louisiana’s antitrust laws certain insurers and insurance industry participants fixed prices, manipulated damage estimates and low-balled claims payments after hurricanes Katrina and Rita. Defendants removed the action to federal court pursuant to the Class Action Fairness Act. Louisiana moved to remand the action back to state court, but the federal district court judge denied the motion. Louisiana appealed to the United States Court of Appeals for the Fifth Circuit. In its decision filed July 18, 2008, the Court of Appeals affirmed the district court’s decision. Click here to read a copy of the decision.
The lawsuit named the following entities as defendants: Allstate Insurance Company, Lafayette Insurance Company, Xactware Solutions, Inc., Marshall & Swift/Boeckh, LLC, Insurance Services Office, Inc., State Farm Fire and Casualty Company, USAA Casualty Insurance Company, Farmers Insurance Exchange, the Standard Fire Insurance Company, and McKinsey & Company.
