Topic: Illinois Developments

Federal Appeals Court Vacates Summary Judgment Decision Where Conflicting Evidence Regarding Principal Place Business of Insured Precluded Determinative Choice of Law Decision

The United States Court of Appeals for the Seventh Circuit recently remanded a choice-of-law determination to the district court for further proceedings because there was conflicting evidence about the principal place of business of one insured and the conflict could not be resolved on the paper record. 

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Reinsurer Argues that California Law Prohibits Tort Recovery for Bad Faith in the Reinsurance Context

On March 17, 2008, in a case pending in the United States District Court for The Central District of California, California Joint Power Insurance Authority  v. Munich Reinsurance America, Inc., Case No. CV08-00956, Munich Reinsurance America, Inc. (“Munich Re America”) filed a motion to dismiss the count of the complaint filed by plaintiff California Joint Power Insurance Authority (“CJIPA”) seeking tort and punitive damages for an alleged breach of the implied covenant of good faith and fair dealing under the reinsurance agreement entered into between the parties. 

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Health Insurers’ Motion to Treble Damages Against Pharmaceutical Companies in Antitrust Case is Granted

On June 1, 2005, after a jury trial lasting over three weeks, a jury found for Blue Cross Blue Shield of Massachusetts (“BCBS-MA”), Blue Cross Blue Shield of Minnesota (“BCBS-MN”), Federated Mutual Insurance Company (“Federated”), and Health Care Service Corporation (“HCSC”) (collectively “Plaintiffs”) against Mylan Laboratories Inc. and Mylan Pharmaceuticals Inc., Cambrex Corporation, and Gyma Laboratories (“Defendants”) on state law claims –  agreement in unreasonable restraint of trade; conspiracy in unreasonable restraint of trade; monopolization; and, attempted monopolization – in the Lorazepam active pharmaceutical ingredient (“API”) market, Lorazepam tablet market and in the Clorazepate API and tablet markets.  The jury awarded BCBS-MA $8,430,887, BCBS-MN $1,756,096, Federated $410,878.00, and HCSC $1,448,437.00 in damages. 

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