treble damages News

NJ Court Orders Retrial to Allocate Liability in Premium Fraud Case

There will be a jury retrial on allocation of liability in a New Jersey workers’ compensation premium fraud case won by Liberty Insurance Corp. against a construction firm. The New Jersey Supreme Court ruled yesterday that a trial court erred …

‘Deceptive’ Denial Letter Costs Insurer Treble Damages After Appeal to 4th Circuit

The insurer first said it would pay to repair a breezeway at a student housing complex that partially collapsed during a Saturday night student party. Then it said it wouldn’t, and sent the policyholder a “confusing” and “deceptive” denial letter …

7th Circuit Lays Obstacle For Litigation Funders With False Claims Act Suits

A federal appellate court dealt a blow against litigation funding companies by ruling that the U.S. Justice Department can dismiss any False Claims Act lawsuits that it deems meritless without first proving that dismissal is justified. The 7th Circuit Court …

Insurer Must Defend Landlord in Security Deposit Lawsuit Despite Policy Exclusion

A policy that sought to limit exposure from any disputes about security deposits did not protect the insurer from having to defend a landlord against a class-action lawsuit claiming state laws were not followed, a federal appellate court ruled. In …

Allstate Wins Victory in Whistleblower Suit Against ‘Sham’ Law Firm

Allstate Insurance Co. won an appellate court victory in a whistleblower lawsuit against a Los Angeles attorney whom it accuses of operating a “sham law practice” that conspired with “sham health care providers” to defraud auto insurers. The Second District …

Insurer Liable for Bad Faith Mistake of Law: Viewpoint

A recent ruling from the District of Massachusetts suggests that insurers are responsible for training their claims handlers to know and understand the law affecting their insureds’ liability – and that the insurer may be held liable for bad faith, …

Insurers Could Face More Bad Faith Suits if N.J. Legislation Passes

Legislation pending in New Jersey could make it easier to file bad faith lawsuits against insurers. The New Jersey Insurance Fair Conduct Act is currently under consideration by the Assembly Financial Institutions and Insurance Committee after having been passed by …