Last month, the New York Supreme Court issued a well-reasoned order denying the Archdiocese’s insurers’[1] motion to dismiss its claim against them for breach of the covenant of good faith and fair dealing, holding that the policyholder’s complaint sufficiently alleged its Insurers claim handling conduct amounted to bad faith.[2] The Order is part of a new trend in New York that allows bad-faith claims to proceed when styled as claims for breach of the duty of good faith and fair dealing, where the conduct supporting the alleged bad-faith claim is independent of the alleged conduct giving rise to a breach of contract claim, and the policyholder sufficiently alleges damages arising from the bad-faith conduct. Continue Reading The Archdiocese Resurrects Faith in the New York Court System: New York Supreme Court Issues Another Decision Allowing a New York Policyholder to Seek Damages for Bad-Faith Claim Handling
Shifting Gears on Insurer Participation in Chapter 11 Proceedings: U.S. Supreme Court Rejects Longstanding “Insurance Neutrality” Doctrine
On June 6, 2024, the Supreme Court issued its opinion in Truck Insurance Exchange v. Kaiser Gypsum Co., No. 22-1079, conferring broad standing to debtors’ pre-bankruptcy liability insurers to appear and be heard in Chapter 11 bankruptcy proceedings. The ruling eliminates the “insurance neutrality” doctrine that previously constrained the participation of insurers in Chapter 11, greatly expanding insurers’ capacity to influence the reorganization process.Continue Reading Shifting Gears on Insurer Participation in Chapter 11 Proceedings: U.S. Supreme Court Rejects Longstanding “Insurance Neutrality” Doctrine
Milk Coverage for All Its Worth While the “Steaks” Are High: An Insurance Primer on Coverage for the H5N1 Bird Flu Outbreak
Dairy is the latest round of kitchen staples to suffer from viral diagnoses. In a first, the H5N1 virus, commonly referred to as the bird flu, is rapidly spreading through US cattle herds.[1] The virus has already been detected in pasteurized milk sitting on grocery store shelves.[2] The World Health Organization labeled the outbreak an animal pandemic, but fears of animal to human transmission are rising.[3] To prepare for the potential financial impact of this looming outbreak, livestock owners and businesses should consider their insurance policies as possible sources of recovery.Continue Reading Milk Coverage for All Its Worth While the “Steaks” Are High: An Insurance Primer on Coverage for the H5N1 Bird Flu Outbreak