The Scottish Government published a Bill on 23 June that, if enacted, will overrule the decision of the House of Lords in October 2007 that pleural plaques do not give rise to a cause of action such that claimants can recover compensation. …
Read More UK: Scottish Government Acts to Restore Compensation for Pleural Plaques

One of Connecticut’s wealthiest families has recently brought an attachment suit against UBS AG, UBS Securities, LLC and UBS Financial Services, Inc. in an effort to require UBS to set aside $150 million to cover a potential reward in an ongoing FINRA arbitration concerning auction rate securities “ARS”). 

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Read More Connecticut Attachment Suit Provides Insight Into Auction Rate Securities Claims

The United States District Court for the District of Massachusetts recently granted a motion to dismiss a “demand excused” shareholder derivative suit on the basis that the suit was mooted by the plaintiffs’ subsequent demand letter. …
Read More Massachusetts Federal Court: Subsequent Demand Moots Demand-Excused Derivative Suit

Connecticut Governor M. Jodi Rell recently vetoed House Bill 5536, An Act Establishing the Connecticut Healthcare Partnership (the “Bill”), which is intended to achieve savings for Connecticut municipalities, nonprofit groups and small employers with 50 employees or less by allowing them to join the current state employees’ health insurance program. 

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Read More Connecticut Governor Vetoes Bill Establishing the Connecticut Healthcare Partnership

In a report published by the Treasury Select Committee on 19 June 2008, the UK City watchdog, the Financial Services Authority (FSA), was heavily criticised for not providing a “robust enough framework” to manage the conflicts of interest inherent in proprietary life funds. …
Read More UK: FSA Heavily Criticised by Government Committee for Lack of Protection for Life Fund Policies

The U.S. First Circuit Court of Appeals recently certified to the Massachusetts Supreme Judicial Court critical questions regarding allocation of loss to multiple insurers for long-term environmental contamination. …
Read More First Circuit Federal Appeals Court Certifies Important Allocation Questions to Massachusetts Supreme Judicial Court

The Seventh Circuit Federal Court of Appeals recently held that an insurer had no liability for its insured’s settlement of noticed claims where the insured had failed to seek or obtain consent to that settlement. 

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Read More Seventh Circuit Strictly Construes Consent To Settlement Provision

The Delaware Chancery Court was recently asked to rule on an issue of first impression: whether a corporation’s duty to advance its executives’ legal bills includes expenses incurred in appealing criminal convictions. …
Read More Delaware Chancery Court To Decide Whether Executives Are Entitled to Advancement of Legal Costs Incurred in Appeals of Criminal Convictions

On 11 June 2008, the All Party Parliamentary Group on Insurance and Financial Services held a meeting focused on consumer insurance law, at which it considered the responses to the Law Commission’s Consultation  Paper (CP) on “Misrepresentation, Non-Disclosure and Breach of Warranty by the Insured” (See: Press Release: 13 June 2008). Responses were received from consumer groups, academics, brokers and lawyers, as well as from insurers. …
Read More UK: Reforming Consumer Insurance Law

In the case of (1) Ramco Ltd (2) Resource Industries Ltd v Weller Russell & Laws Insurance Brokers Ltd LTL 17/6/2008, David Donaldson QC  held that a broker was liable for failing to obtain “insurance coverage which clearly and indisputably meets its clients’ requirements.” Resource Industries Limited (RIL) was a company which traded in surplus army stock. 

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Read More UK: Broker Liable for Failing to Meet Client’s Requirements