Yahoo’s recently-announced $80 million settlement of its data breach-related securities lawsuit may be a signal that the plaintiffs’ bar is going to pivot away from pursuing these claims in the form of shareholder derivative lawsuits. In their ongoing effort to capitalize on large-scale data breaches, to date, plaintiffs have struggled to survive motions to dismiss in data breach-related derivative lawsuits (e.g. Target and Wyndham Worldwide). Although the plaintiffs in the Home Depot derivative litigation were able to extract a $1.125 million settlement while the dismissal …Continue Reading
In Twin City Fire Insurance Co. v. Hartman, Simons & Wood, LLP, 2015 U.S. App. LEXIS 6092 (11th Cir. Apr. 15, 2015), the U.S Court of Appeals for the Eleventh Circuit reversed a lower court ruling and held that a professional liability insurer was not barred from recovering some, or all, of a $10 million settlement it paid on behalf of its insured due to the affirmative defenses of waiver and voluntary payment.
Twin City Fire Insurance Company (Twin City) issued two consecutive professional …Continue Reading
In RSUI Indemnity Co. v. American States Insurance Co., No. 14-30033, 2014 U.S. App. LEXIS 18407 (5th Cir. Sept. 25, 2014), the Fifth Circuit Court of Appeals held no adjudicated excess judgment is required for an excess insurer to recoup settlement payments from the primary insurer whose alleged bad faith failure to defend the common insured caused the excess settlement.
In the underlying action arising from an automobile collision, counsel retained by the primary carrier, American States Insurance Co. (ASIC), for the insureds allegedly …Continue Reading