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Fla. Supreme: Insurer Can Pursue Malpractice Suit Against Law Firm That Botched Defense


Fla. Supreme: Insurer Can Pursue Malpractice Suit Against Law Firm That Botched Defense
Attorneys who are hired by insurance carriers to defend policyholders from lawsuits have a duty to represent the insured, but the insurer is paying their fees.
Obviously, the insurer has a financial interest in the outcome of the litigation. They have to pay any settlement or award of damages. But if something goes wrong, do they have a right to pursue a malpractice claim against the attorney?
The Florida Supreme Court on Thursday ruled that if the insurance contract gives the insurer subrogation rights, they do.
“Where an insurer has a duty to defend and counsel breaches the duty owed to the client insured, contractual subrogation permits the insurer, who on behalf of the insured pays the damage, to step into the shoes of its insured and pursue the same claim the insured could have pursued,” the high court said in a unanimous decision. ....

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Two Bills Relating to Auto Insurance Claims Practices Advance in Texas


Two Bills Relating to Auto Insurance Claims Practices Advance in Texas
May 11, 2021
House Bill 359
The Texas House May 7 passed House Bill 359, which addresses delaying tactics practiced by insurers in claims involving uninsured or underinsured motorist coverage.
According to legislative analysis of HB359 by Rep. Charlie Geren, District 99, the legislation was filed over “concerns that insurance carriers that delay claim evaluations, significantly undervalue claims, or delay or deny payment on valid claims are not penalized for doing so. As a result, policy holders with valid automobile insurance claims are often forced to sue their own insurance company to receive payment under their auto insurance policy’s uninsured or underinsured motorist coverage.” ....

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N.J. Supreme Court Upholds Order to Reimburse Workers' Comp Claimant for Marijuana


N.J. Supreme Court Upholds Order to Reimburse Workers’ Comp Claimant for Marijuana
The New Jersey Supreme Court on Tuesday ordered a construction company to reimburse a workers’ compensation claimant for marijuana that was prescribed to relieve his back pain caused by a work injury.
The high court rejected M&K Construction’s argument that if it paid for Vincent Hager’s marijuana it could be subject to criminal liability under federal law.
The 7-0 decision, written by Justice Lee A. Solomon, says M&K “…fails to show and we strain to find how its compliance with the order exhibits a specific intent to aid-and-abet Hager’s marijuana possession.” ....

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N.J. Supreme Upholds Order to Reimburse Work Comp Claimant for Marijuana


N.J. Supreme Upholds Order to Reimburse Work Comp Claimant for Marijuana
The New Jersey Supreme Court on Tuesday ordered a construction company to reimburse a workers’ compensation claimant for marijuana that was prescribed to relieve his back pain caused by a work injury.
The high court rejected M&K Construction’s argument that if it paid for Vincent Hager’s marijuana it could be subject to criminal liability under federal law.
The 7-0 decision, written by Justice Lee A. Solomon, says M&K “…fails to show and we strain to find how its compliance with the order exhibits a specific intent to aid-and-abet Hager’s marijuana possession.” ....

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