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False Statements Insurance Industry

Rivkin Radler LLP

September 2024 Insurance Update

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In this month’s update, we discuss Russian-seized planes, Starbucks-caused traffic jams, a squabble over the use of a family name, a restaurant’s pandemic-based loss, a poorly built house, and whether insurance covers any of...more

Conn Kavanaugh

Lessons Learned from Amber Heard and Bill Cosby: Homeowners Coverage for Defamation Claims

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We all love to focus on the extravagant lives of celebrities, but how about the mundane aspects of their lives, like insurance? It might surprise you that many well-known people have used their homeowners insurance policies...more

Bradley Arant Boult Cummings LLP

Seventh Circuit Requires Proof in FCA Suits That False Statement in Mortgage Insurance Application Caused Subsequent Default

In its June 14, 2023, decision in United States ex rel. Michelle Calderon v. Carrington Mortgage Services, LLC, No. 22-1553, 2023 WL 3991013, (7th Cir. 2023), the Seventh Circuit explained the high bar for relators to prove...more

Wiley Rein LLP

Insurer’s Allegation “Upon Information and Belief” That Insured Possessed Knowledge or Information Rendering a Warranty False Held...

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Applying federal procedural law, the United States District Court for the Eastern District of Louisiana has held that an insurer’s allegation “upon information and belief,” that an insured possessed knowledge or information...more

Wiley Rein LLP

Deceptive Advertising Claim Does Not Allege “Covered Professional Service”

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Applying Georgia law, the U.S. Court of Appeals for the Eleventh Circuit has held that an E&O policy issued to a medical practice did not respond to a claim alleging violations of a state unfair and deceptive trade practices...more

Smart & Biggar

True or False? Testing the limits of comparative advertising – Petline v Trupanion

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Comparative advertising can be a useful tool for marketers. It positions competing brands against each other and helps consumers make better choices. However, there are legal limits to comparative advertising which are set...more

K&L Gates LLP

OnRisk: The Misrepresentation Defense

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In this episode of OnRisk, K&L Gates attorneys Carolyn Branthoover and Max Louik discuss the misrepresentation defense, also known as the rescission defense, a defense that insurers have been aggressively pursuing in recent...more

Haight Brown & Bonesteel LLP

Employer’s False Statements Opposing Workers' Compensation Claim Not Privileged Against Liability Under the Insurance Frauds...

In People ex rel. etc. v. Hebb (No. E066471, filed 12/19/17), a California appeals court held that false or fraudulent statements given in opposition to a workers’ compensation claim are not privileged from liability under...more

A&O Shearman

"Collateral lies" do not necessarily undermine an insurance claim

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An insured was not precluded from recovering under an insurance policy even though it had made a false statement during the claims process with a view to strengthening its claim. The Supreme Court in Versloot Dredging BV &...more

Cozen O'Connor

An Injured Third Party’s Knowingly False Deposition Testimony Establishes the Materialty Component for Insurance Fraud

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On May 13, 2006, Edward Feierstein was driving home from his Philadelphia fitness club when his car was rear-ended. Two days later, Feierstein filed a claim with the tortfeasor’s liability insurer seeking reimbursement for...more

Mintz

Kissing Camels Antitrust Suit Against Health System Moves Past Another Hump in the Road

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In June, an antitrust suit brought by plaintiff ambulatory surgery centers (“ASCs”) against a health system, health insurers, and a trade association survived a motion to dismiss. Last week, the ASCs’ case cleared the hump of...more

Mintz - Securities & Capital Markets...

Federal Court Holds That Lack of Loss Causation Is Not a Defense Under Massachusetts Blue Sky Law

The United States District Court for the District of Massachusetts recently held in Massachusetts Mutual Life Insurance Co. v. Residential Funding Co., LLC, that lack of loss causation is not available even as an affirmative...more

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