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The United States Court of Appeals for the Tenth Circuit recently held that an employee who allegedly beat a fellow employee with a shovel was not entitled to coverage under the employer’s insurance policy because the incident was not a covered “occurrence,” despite assertion in the answer that the employee had acted in self-defense. 

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Read More Federal Appeals Court: Co-Employee Attack Not A Covered Occurrence Despite Answer Alleging Self-Defense

On November 5, 2008, a jury in the Suffolk County Superior Court in Massachusetts reportedly awarded a $9.4 million verdict to the family of a woman who had received experimental cancer treatment at the Dana-Farber Cancer Institute.  After interest, the award to the family of the decedent reportedly totaled approximately $13.5 million. …
Read More Report: Massachusetts Jury Awards $13.5 Million for Wrongful Death Allegedly Arising from Experimental Cancer Treatment

A federal district court in Minnesota recently held that an insurer does not need to defend its insured under either a general liability policy or errors and omissions policy for claims related to spyware that the insured allegedly installed and monitored on a claimant’s computer. 

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Read More Court Holds that Spyware Claims are Not Covered by GL or E & O Policy

In Kenney, Becker LLP, et al. v. Kenney, 2008 U.S. Dist. LEXIS 1995 (S.D.N.Y. 2008), the United States District Court for the Southern District of New York held that a party that issued a nonparty subpoena in an arbitration arising under the Federal Arbitration Act (“FAA”) in bad faith and without the panel’s approval was subject to sanctions under both Rule 45 of the Federal Rules of Civil Procedure and the court’s inherent authority to impose attorneys’ fees. 

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Read More New York Federal Court Sanctions Party for Issuing Improper Nonparty Subpoena in Arbitration

On October 7, 2008, the United States District Court for the District of Delaware granted the defendants’ motion to dismiss in In re Countrywide Financial Corporation Derivative Litigation, a consolidated shareholder derivative action alleging breach of fiduciary duty against certain of Countrywide’s directors and officers arising out of Countrywide’s involvement in the subprime lending crisis. 

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Read More Countrywide Derivative Action Dismissed on Standing Grounds

In a prior post (please click here), we advised that the U.S. Supreme Court unanimously held that individual participants in 401(k) retirement plans can sue plan fiduciaries to recover losses resulting from mishandling of their individual retirement accounts. …
Read More Individual Plan Participant Suits: Despite Victory in U.S. Supreme Court, LaRue Voluntarily Dismisses ERISA Action

With piracy attacks on the rise, especially in the Gulf of Aden off the East coast of Somalia, the insurance industry is seeing an increase in requests for specialist kidnap and ransom insurance.  These attacks are also becoming more violent, and resolutions are taking longer to negotiate, all of which increase the costs involved.  Unfortunately, many ship owners have no choice but to move their cargo through these dangerous areas. …
Read More Kidnap & Ransom Coverage Requests Increasing Due to Piracy

Recently, the New York Court of Appeals affirmed a decision from a New York appellate court, holding that an insured’s notice under one policy does not constitute notice under a second policy issued by the same insurance carrier. …
Read More New York’s Highest Court Confirms that Notice Under One Policy Does Not Constitute Notice Under a Second Policy Issued by the Same Carrier

On November 3, 2008, the U.S. Supreme Court heard oral arguments in Wyeth v. Levine.  This case involves the question whether the Food and Drug Administration’s (“FDA”) regulation of prescription drug labeling pursuant to Federal Food, Drug, and Cosmetic Act, 21 U.S.C. § 301 et seq. (“FDCA”) preempts state common law tort claims. 

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Read More Supreme Court Hears Arguments in Wyeth v. Levine Drug Labeling Preemption Case