News
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The Middle District of Florida recently reaffirmed that bad faith cases are removable to federal court (assuming diversity requirements are met) regardless of the length of time for which the underlying action has been pending. Love v. Property and Cas. Co. of Hartford, 2010 U.S.Dist. LEXIS 84910 (M.D. Fla. July 16, 2010). Love involved a UM action in which the jury awarded over a million dollars more than the policy limits. After the verdict, the insured amended the operative complaint to include an action for bad faith. Hartford removed the action to federal court. The insured claimed the action should be remanded to state court because more than a year had passed since the initial complaint was filed. 28 U.S.C. Section 1446(b). The issue presented was whether the one year limitation applied to a UM action in which no bad faith claim could even be asserted until such time as an excess verdict. Recognizing that a bad faith claim is separate and independent from the UM claim, the court held a bad faith claim is removable within the 30 days from the initial pleading setting forth a bad faith claim, without a time restriction based on the initial UM complaint.
This is a positive ruling for carriers desiring to remove bad faith claims to federal court. It will restrict the ability of insureds to simply make sure an underlying UM action with less than $75,000 in limits takes more than a year to get to verdict, thus precluding federal jurisdiction over the bad faith claim. However, insurers should be mindful of the language in Love; the reference to the initial pleading raising a bad faith claim could create issues in cases in which an insured files a joint UM/bad faith Complaint. The initial reaction may be to simply move to dismiss or abate the bad faith count, but it may also be advisable in such cases to seek removal immediately. Such decisions should be made with care because it is arguable that in seeking removal, statements/allegations regarding the scope of damages could be made which conflict with the decisions regarding denial of claims.
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At the personal invitation of Alabama Supreme Court Chief Justice Sue Bell Cobb, Carr Allison shareholder and retired Mobile County District Judge Judson Wells attended a charity roast of Joe Namath on August 6th, 2010 in Birmingham. Judson Wells attended a reception at the Alabama Sports Hall of Fame and the dinner roast following, in honor of legendary former University of Alabama QB and NFL Hall of Fame member Joe Namath.
Wells, a past president of The University of Alabama National Alumni Association, enjoyed visiting with Chief Justice Cobb, Joe Namath, Terry Saban and others.
The roast was held to benefit Children First Foundation, Inc, a non-profit group of statewide leaders who serve as the driving force to shape public policy and enhance the quality of life for the children of Alabama.
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On July 29, 2010, Matt Liebenhaut presented a seminar entitled "2010 Legislation Affecting Florida Community Associations" at the North Gulf Coast Chapter of the Community Associations Institute in Tallahassee, Florida. Liebenhaut practices in Carr Allison's Tallahassee, Florida office.
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Jul 27
2010Carr Allison's Sean C. Pierce and Vincent A. Noletto will speak at Harris Martin's Chinese Drywall Litigation Conference in Miami Beach, Florida on October 28-19, 2010. Please see below for more information on how you may attend.
Sessions and speakers are subject to change. Application is being made for an estimated 10-12 credit hours to CLE states as requested by attendees. For the most up-to-date information, please visit www.harrismartin.com
Nationwide gathering of attorneys, insurance professionals, and corporate interests closely following the developing Chinese Drywall litigation story.
Prompted by recent complaints around the country that imported drywall is causing construction problems and health effects, HarrisMartin has announced the first Chinese Drywall Litigation Conference. This program is open to the public. You may complete and submit the PDF file on this page to register. The sessions will include:- Latest Developments
- Overview of the Dispute
- Class Action Issues, including CAFA Considerations and MDL Status
- Nuts and Bolts of Litigating Against a Foreign Corporation
- International Service and the Hague Convention
- Latest Expert Opinions on Causation Issues
- Multi-Party Construction Litigation Issues
- Approaches to Global, Multi-Unit and Individual Settlements
- Review of Legal Theories
- Economic Loss Rule, Arbitration Clauses and Building Code Issues
- Insurance Coverage Issues
Dates:
October 28-29, 2010
Location:
Fontainebleu Miami Beach
Miami Beach, Florida
