On Tuesday, July 21, 2009, the head of the Florida Office of Insurance Regulation (“FLOIR”), Commissioner Kevin McCarty, announced the signing of a memorandum of understanding (“MoU”) with the United Kingdom Financial Services Authority (“FSA”), the United Kingdom’s regulator responsible for regulatory oversight of the insurance, banking and securities markets. 

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Read More The Florida Office of Insurance Regulation Enters Cooperation Agreement with the United Kingdom’s Financial Regulator

On Monday, July 20, 2009, Acting New York State Insurance Department (“NYSID”) Superintendent Kermitt Brooks announced that the NYSID entered into a Memorandum of Understanding (“MoU”) with the Office of Insurance Commission (“OIC”), Thailand’s insurance regulator. 

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Read More New York Insurance Department Announces Cooperation Agreement with Thailand

On Wednesday, July 22, 2009, the Treasury Department sent draft legislation to Capitol Hill that would bring all financial firms under federal supervision and regulation, and would establish a new regulatory council – the Financial Services Oversight Council – to identify and manage emerging risks. 

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Read More Treasury Department Sends Systemic Risk Regulation Proposal to Congress, and Other Financial Regulatory Overhaul News

On July 10, 2009, the appellate division reversed the motion court’s ruling in Sevenson Envtl. Serrvices, Inc. v. Sirius Am. Ins. Co., Case No. 02260/08 (4th Dept.), and held that (1) the insured’s 15-month delay in providing notice of the claim was unreasonable as a matter of law; (2) the insurer need not prove that it was prejudiced by the insured’s untimely notice to disclaim coverage; and (3) the insurer’s disclaimer of coverage on late notice grounds 24 days after receiving notice of the claim was timely as a matter of law. …
Read More NY Appellate Court: Insurer’s Disclaimer Timely and Proper Despite Lack of Prejudice Resulting From Insured’s Late Notice of Claim

The White House proposed legislation to Congress last week that would require investment advisors to private equity, venture capital and hedge funds with more than $30 million in assets under management to register with the Securities and Exchange Commission (SEC).  The proposed legislation marks the most extensive effort to date to register and oversee the private equity, venture capital and hedge fund markets. 

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Read More White House Proposes SEC Registration and Oversight of Private Equity, Venture Capital and Hedge Fund Advisors

Ruling from the bench, a New Jersey state court judge recently ordered an attorney to notify its liability carrier of a malpractice claim. …
Read More New Jersey State Court Compels Attorney to Notify its Professional Liability Insurer of Malpractice Claim

In a highly anticipated decision, the United States Court of Appeals for the Second Circuit affirmed last week that investment advisor Hennessee Group LLC could not be liable on the claims asserted by one of its clients for recommending that the client invest in a hedge fund that turned out to be nothing more than a Ponzi scheme perpetrated by Bayou Group LLC. …
Read More Second Circuit Upholds Dismissal for Advisor Who Recommended Bayou Group Hedge Fund

The Bermuda Monetary Authority (the BMA) has recently published a consultation paper (the Paper) outlining proposals on how it intends to enhance its disclosure and transparency regimes. …
Read More Bermuda: Bermuda Monetary Authority Publishes Consultation Paper on Disclosure and Transparency

The First Circuit recently heard an appeal regarding a challenge to amendments to Puerto Rico’s Compulsory Motor Vehicle Liability Insurance Act, Law No. 253.  The law requires auto vehicle registrants, upon vehicle registration, to pay premiums for compulsory auto insurance through a Commonwealth-created association of private insurers in Puerto Rico. …
Read More First Circuit Remands Challenge to Puerto Rico’s Compulsory Auto Insurance Law Back to District Court, But with Little Chance of Success

On June 16, 2009, plaintiff Kathryn Squires voluntarily dismissed, without prejudice, the lawsuit filed on behalf of iShares Trust shareholders. …
Read More Update: Shareholder Lawsuit Against Company that Invested in Lehman Bonds a Day Prior to Lehman’s Bankruptcy Has Been Voluntarily Dismissed