Hutchinson Technology, Inc., a firm with a dual focus on computer hardware technology and health care technology, recently filed suit against UBS AG, UBS Financial Services and UBS Securities LLC (“UBS”) for allegedly fraudulently inducing Hutchinson to purchase millions of dollars in auction rate securities (ARS). …
Read More Hutchinson Technology Files Suit Against UBS Claiming That Auction Rate Securities Regulatory Settlements Are Not Enough

The United States District Court for the District of Colorado recently held that a warranty letter’s prior knowledge exclusion barred coverage for defense costs incurred by the insured directors and officers in an enforcement action initiated by the SEC. A copy of the decision can be found here. 

…
Read More Prior Knowledge Exclusion in Warranty Letter Relieves D&O’s Insurer’s Obligation to Pay Increased Limits

Thomaz Menezes, president of Marsh Brazil and Latin America, reportedly recently commented that the broker expects insurance premium rates to rise in the Brazilian market in 2009 due to the global financial crisis and resulting rise in claims.  In particular, Menezes reportedly commented that Marsh expects director and officer liability premium rates to rise between 10% and 30% and premium rates for property and engineering insurance to rise approximately 10%. …
Read More Brazil: Market Expected to Harden in 2009

In November 2007, shareholders of Vodafone Group Plc (“Vodafone”) filed a securities class action complaint in the U.S. District Court for the Southern District of New York under section 10(b) of the Securities Exchange Act of 1934 (the”34 Act”) alleging that Vodafone and several of its directors and officers artificially inflated the price of Vodafone’s stock through allegedly false and misleading statements about its financial health and business prospects. 

…
Read More Vodafone Securities Class Action Dismissed For Lack of Subject Matter Jurisdiction

“[A]ll liability policies” issued or delivered in New York on or after January 17, 2009 will be subject to the recent Legislation promulgated under Chapter 388 of the Laws of 2008 (the “Legislation”). The New York Insurance Department (“Department”) has issued Circular Letter No. 26 (2008), dated November 18, 2008, to remind liability insurers writing property/casualty policies of the changes resulting from the new law, and also to clarify certain aspects of the Legislation.

…
Read More New York Insurance Department Issues Circular Letter Regarding Late Notice Legislation, Which Takes Effect on January 17, 2009

We have reported previously on the progress of the Lloyd’s Legislative Reform Order (LRO) through the UK Parliament and on the consultation by Lloyd’s in relation to the proposed amendments to the Lloyd’s Byelaws (you can see our most recent post by clicking here). 

…
Read More UK: Lloyd’s Legislative Reform Order: Amendments to Lloyd’s Byelaws

We reported last week that the FSA was consulting on whether to lift its ban on short selling of stocks in financial companies and certain amendments to the disclosure rules in connection with short positions (see the post by clicking here). 

…
Read More UK: FSA Lifts Short Selling Ban

Cornerstone Research, in cooperation with Stanford Law School’s Securities Class Action Clearinghouse, recently released its report on federal securities class action filings in 2008. 

…
Read More Cornerstone Report: Securities Class Action Filings Soar in 2008 Due to an Increase in Filings Against Financial Services Firms

Although all of the Latin American jurisdictions had notable regulatory and market developments in 2008, Costa Rica stands out as particularly significant given the the fundamental nature of the developments seen there in the past year. …
Read More Costa Rica: Major Insurance and Reinsurance Developments in 2008