A recent decision by a California appellate court in Practice Fusion, Inc. v. Freedom Specialty Insurance Company, denying the policyholder more than $118 million in Directors & Officers liability coverage based on an...more
Generative AI is transforming our economy in previously unimagined ways, with Goldman Sachs estimating a $7 trillion (7%) increase in global GDP by virtue of this ecosystem. Insurance is but one sector that will be impacted,...more
Amidst the recent surge in ransomware attacks on U.S. businesses—with crypto criminals and sometimes State actors invading and encrypting computer and operating systems and extorting funds in exchange for the decryption...more
As the preferred place of incorporation for most U.S. companies, Delaware has long been a leader in the development of statutory and common law on corporate governance. In keeping with this role, the Delaware legislature...more
In the finance world, Special Purpose Acquisition Companies (SPACs) are proliferating like Dutch tulips. This year alone, they’ve exploded in popularity, with multitudes of celebrities, politicians, and influencers sponsoring...more
Late in June, the U.S. Supreme Court issued a decision in Liu v. SEC, a closely watched case in which the Court in an 8-1 opinion curtailed the authority of the Securities and Exchange Commission (SEC) to seek disgorgement of...more
7/24/2020
/ 15 U.S.C. § 78u(d)(5) ,
Administrative Authority ,
Business Expenses ,
Calculation of Damages ,
Corporate Misconduct ,
Disgorgement ,
Enforcement Actions ,
Equitable Relief ,
Kokesh v SEC ,
Liu v Securities and Exchange Commission ,
Net Profits ,
Remedies ,
SCOTUS ,
Securities and Exchange Commission (SEC)
Check your D&O Policy carefully before signing.
In the coming months, we will inevitably see new charges brought by the DOJ against borrowers for false statements made in PPP loan applications....more
5/19/2020
/ Borrowers ,
CARES Act ,
Conspiracies ,
Coronavirus/COVID-19 ,
D&O Insurance ,
Department of Justice (DOJ) ,
False Claims Act (FCA) ,
False Statements ,
Fraud ,
Paycheck Protection Program (PPP) ,
SBA
In an important decision in the world of professional liability (including D&O and E&O policies), the Seventh Circuit recently held that a “contractual liability” exclusion—i.e., an exclusion for claims “based upon or arising...more
Pillsbury secured an important victory for its client, Solera Holdings Inc., when Delaware Superior Court Judge Abigail LeGrow held—in a matter of first impression anywhere in the country—that a shareholder appraisal action...more
8/30/2019
/ Appraisal ,
Appraisal Rights ,
Breach of Duty ,
D&O Insurance ,
Defense Strategies ,
Denial of Insurance Coverage ,
Excess Policies ,
Fair Valuation ,
Insurance Litigation ,
Litigation Fees & Costs ,
Motion for Summary Judgment ,
Reimbursements ,
Securities Violations ,
Shareholder Demands ,
Shareholder Litigation ,
Shareholder Rights ,
State Securities Claims ,
Summary Judgment ,
Wrongful Acts
When adding new or additional layers to an insurance program, policyholders are often asked to sign a “warranty letter” providing comfort to the prospective insurer that the policyholder is not aware of impending claims....more
Uncertainty of their immediate cause(s) of the Camp and Woolsey Fires may complicate insurance recovery.
How you present your claims to the insurers is critical to recovery....more
Storms like the one that recently caused widespread devastation in the Carolinas leave behind challenging questions about business interruption insurance coverage.
Quantifying a policyholder’s business interruption loss is...more
In the wake of Hurricane Florence, a thorough understanding of the coverage available, the facts surrounding the loss, and the applicable law can often be key to maximizing insurance recovery.
Sub-limits for flood and...more
Expanding the Boundaries of Coverage in the Face of Evolving Risks -
Advances in technology, social change, new regulations—developments like these challenge companies’ risk-mitigation efforts and insurance programs. As the...more
9/6/2018
/ #MeToo ,
Arbitration ,
Artificial Intelligence ,
Construction Industry ,
Cyber Insurance ,
Cybersecurity ,
Data Protection ,
Employer Liability Issues ,
EU ,
General Data Protection Regulation (GDPR) ,
Insurance Industry ,
Policy Terms ,
Popular ,
Property Damage ,
Sexual Harassment ,
Transportation Industry
Some guiding principles, taken from decades of experience representing insurance policyholders in California and around the globe -
The Wine Country fires, and the uncertainty of their cause, may complicate insurance...more
10/20/2017
/ Business Interruption ,
Commercial Insurance Policies ,
Critical Infrastructure Sectors ,
Crop Insurance ,
Distributors ,
Documentation ,
FEMA ,
Homeowner's Insurance ,
Insurance Industry ,
Natural Disasters ,
Nonprofits ,
Notice Requirements ,
Tourism ,
Wildfires ,
Wineries
Hurricane Irma’s epic scope and wind speed suggest that affected businesses and other organizations take immediate and proactive steps to maximize insurance recovery....more
9/7/2017
/ 501(c)(3) ,
Business Interruption ,
Commercial General Liability Policies ,
Documentation ,
Duty to Mitigate ,
FEMA ,
Flood Insurance ,
Hurricane Irma ,
Insurance Claims ,
Natural Disasters ,
Notice Requirements ,
Property Damage ,
Property Insurance ,
Suppliers
After tearing through the Caribbean, Hurricane Matthew’s path brought it north to the Southeastern coast of the U.S., bringing evacuations, business closures and damages to the region. Florida, Georgia, South Carolina and...more
10/11/2016
/ Business Interruption ,
Commercial Insurance Policies ,
Expert Reports ,
FEMA ,
Homeowner's Insurance ,
Hurricane Matthew ,
Loss Mitigation ,
Popular ,
Proof of Claims ,
Property Damage ,
Property Insurance ,
Supporting Documentation ,
Written Notice
The beginning of 2016 brought floods to the Midwest—and, tragically, loss of life and extensive property damage. With the floodwaters now receding and cleanup underway, affected businesses should consider obtaining insurance...more
Welcome to the latest edition of Pillsbury’s Perspectives on Insurance Recovery. As this 2015 edition of Perspectives demonstrates, our team is working on the most challenging issues—from cyber-insurance and complex claims...more
7/21/2015
/ Bad Faith ,
Certificate of Insurance ,
Commercial Property Owners ,
Construction Contracts ,
Cyber Insurance ,
Cybersecurity ,
D&O Insurance ,
Duty to Defend ,
Earthquake Insurance ,
Errors and Omissions Policy ,
False Claims Act (FCA) ,
Indemnification Clauses ,
Insurance Industry ,
Limitation of Liability Clause ,
Litigation Fees & Costs ,
Mergers ,
Notice Requirements ,
Policy Exclusions ,
Professional Liability ,
Property Damage ,
Property Insurance ,
Storm Water ,
Subrogation
On January 12, 2015, President Obama signed into law H.R. 26, the Terrorism Risk Insurance Program Reauthorization Act of 2015 (TRIPRA of 2015), providing a federal backstop for insurance against risks of terrorism. TRIPRA...more
In recent years, purchasers of D&O and professional liability insurance have been stunned to learn that their carriers have denied coverage for a wide range of claims on the theory that their policies do not cover loss that...more
The first two weeks of 2014 ushered in an extraordinary weather disaster affecting most of the United States, causing extensive property damage and business interruption as a result of freezing temperatures. On January 3,...more
In a case closely watched by industry observers, the New York Court of Appeals, in J.P. Morgan Securities v. Vigilant Insurance Company, No. 113 (NY, June 13, 2013), issued an important ruling in the field of directors and...more