On July 8, 2009, the Oregon Department of Consumer & Business Services issued a press release announcing the official appointment of Teresa Miller as the Administrator of the Oregon Department of Consumer & Business Services Insurance Division.
Read More Teresa Wheeler Named as Oregon Insurance Division Administrator
Industry Developments
Doug A. Wheeler Confirmed as New Jersey Insurance Director
By Troutman Pepper Locke on
On June 26, 2009, the New Jersey Department of Banking and Insurance (“DOBI”) issued a press release announcing the Senate confirmation of Douglas A. Wheeler as the new Director of the Division of Insurance. …
Read More Doug A. Wheeler Confirmed as New Jersey Insurance Director
Illinois Appeals Court Affirms Dismissal of Derivative Action Against Aon
By Troutman Pepper Locke on
An Illinois appeals court recently upheld the trial court’s dismissal of a derivative action brought against Aon based upon its alleged practice of collecting “contingent commissions.” …
Read More Illinois Appeals Court Affirms Dismissal of Derivative Action Against Aon
A Catch-22 for Employers: Supreme Court Rules Against City of New Haven in Reverse Discrimination Case
By Troutman Pepper Locke on
In a 5-4 decision, the United States Supreme Court in Ricci v. DeStefano offered little in the way of practical guidance to employers walking the fine line of race-neutral hiring and employment practices, but provided no shortage of controversy for pundits and commentators. …
Read More A Catch-22 for Employers: Supreme Court Rules Against City of New Haven in Reverse Discrimination Case
U.S. Court of Appeals for the Tenth Circuit Finds that Arbitration Agreements in Reinsurance Contracts Are Enforceable under Oklahoma Law
By Troutman Pepper Locke on
General Reinsurance Corporation (“Gen Re”) reinsured certain commercial excess liability policies issued by Mid-Continent Casualty Company (“Mid-Continent”). See Mid-Continent Cas. Co. v. General Reins. Corp., No. 07-5050 (10th Cir. May 22, 2009). After a dispute arose between the parties, Mid-Continent filed a lawsuit against Gen Re in federal district court in Oklahoma, and Gen Re sought to compel arbitration under the Federal Arbitration Act (“FAA”). …
Read More U.S. Court of Appeals for the Tenth Circuit Finds that Arbitration Agreements in Reinsurance Contracts Are Enforceable under Oklahoma Law
Florida Governor Charlie Crist Vetoes Property Insurance Reform Bill
By Troutman Pepper Locke on
On June 24, 2009 Florida Governor Charlie Crist vetoed Florida HB 1171, a property insurance reform bill, sought by the insurance industry and business advocacy groups. HB 1171 would have permitted insurers with adequate reserves to offer policies at whatever rate the market would bear while rate regulated companies continued to sell policies in Florida. …
Read More Florida Governor Charlie Crist Vetoes Property Insurance Reform Bill
Chinese Drywall – Environmental Protection Agency Releases Preliminary Test Results
The United States Environmental Protection Agency (EPA) recently conducted comparative testing on drywall manufactured in China and the United States. As reported here, here, and here, Chinese drywall emits fumes that allegedly smell like rotten eggs, cause health problems and corrode metal in thousands of new homes built between 2002 and 2007. Complaints have been registered nationwide but are concentrated in the Southeast, particularly in Florida.
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Read More Chinese Drywall – Environmental Protection Agency Releases Preliminary Test Results
Foreign Bank and Financial Account Reporting Requirements for June 30, 2009
By Troutman Pepper Locke on
June 30th is the deadline for filing a Report of Foreign Bank and Financial Accounts (“FBAR”), Treasury Form TD F 90-22.1 for calendar year 2008. In general, an FBAR must be filed by any U.S. person who had either a financial interest in or signatory authority (or other authority) over one or more “financial accounts” in a foreign country if the aggregate value of all such accounts exceeded $10,000 at any time during the year. …
Read More Foreign Bank and Financial Account Reporting Requirements for June 30, 2009
Fifth Circuit Hears En Banc Oral Argument on whether New York Convention Is “Reverse Preempted” by Louisiana Statute
By Troutman Pepper Locke on
On May 21, 2009, the United States Court of Appeals heard en banc oral argument on its ruling in Safety National Casualty Corp. v. Certain Underwriters at Lloyd’s of London, No. 06-30262 (5th Cir. Sept. 29, 2008) that the New York Convention overrides a Louisiana statute prohibiting arbitration clauses in insurance contracts.
Fourth Circuit Holds that Insurer Is Not Obligated to Defend Security Firm in Lawsuits Alleging Torture of Iraqi Prisoners by Its Employees
By Troutman Pepper Locke on
The insured, a security firm operating in Iraq under contract with the U.S. government, was sued by former Iraqi detainees and their survivors for allegedly torturing prisoners in the Abu Ghraib prison and other detention centers in Iraq. The insured, in turn, sought defense and indemnity coverage for the lawsuits under its commercial general liability protection policies, which obligated the insurer to defend and indemnify the insured against any suit for covered injuries or damage.