The Second Circuit recently affirmed a decision by a New York district court that the contract exclusion in a D&O insurance policy applied to all of the causes of action in an underlying action, including a cause of action for declaratory relief stemming from a shareholder agreement. See Paraco Gas Corp. v. Ironshore Indem., Inc., No. 23-1069-cv, 2024 U.S. App. LEXIS 14628, at *9 (2d Cir. June 17, 2024).Continue Reading Second Circuit Affirms Broad Reading of Contract Exclusion in Closely Held Family Corporation Litigation

Christopher Sakauye
Chris Sakauye represents insurers in complex coverage matters. He is adept at assessing and applying current and developing trends in case law across all 50 states. His experience on a nationally recognized trial team also gives him unique insight into the pressure points that bring difficult cases to quick and efficient resolutions.
Insurer Quota-Sharing Lessons From $112M Bad Faith Verdict
Note: This article was originally published by Law360 as an Expert Analysis column.
Following the rising trend in runaway bad faith verdicts, on March 22, 2024, the U.S. District Court for the Northern District of Indiana upheld a whopping $112 million jury verdict, including $12.5 million in punitive damages against each of the seven insurers involved. See Ind. GRQ, LLC v. Am. Guar. & Liab. Ins. Co., No. 3:21-CV-227 DRL, 2024 U.S. Dist. LEXIS 51281, at *102 (N.D. Ind. Mar. 22, 2024).Continue Reading Insurer Quota-Sharing Lessons From $112M Bad Faith Verdict
Michigan Coverage Dispute Highlights Steep Cost of Statutory Penalty Interest
Statutory penalty interest can be a significant exposure for insurers in some jurisdictions. A court’s recent ruling in Alticor Global Holdings Inc., et al. v. American International Specialty Lines Insurance Co., et al., Case No. 1:17-cv-388, 2022 U.S. Dist. LEXIS 130101 (W.D. Mich. June 8, 2022), illustrates the potentially steep cost.
Continue Reading Michigan Coverage Dispute Highlights Steep Cost of Statutory Penalty Interest