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GDPR is Coming – Have You Checked Your Insurance Program Lately?

The stopwatch is running. Companies are scrambling to figure out how the EU’s General Data Protection Regulation (GDPR)—due to go into effect on May 25, 2018—will affect how they do business. Uncertainty and speculation abound; no one knows exactly how the law will be enforced, particularly with respect to companies…

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Damned If You Don’t: Ninth Circuit Enforces D&O Policy Rescission for Correct Answer on Policyholder’s Application

Sometimes you just can’t win. Under the law of most states, the doctrine of rescission provides that when a policyholder gives a materially misleading answer on an application for insurance, the court may hold it void ab initio, meaning the policy is unenforceable from the outset, as if there had…

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Florida’s Construction Defect Resolution Process Is a “Suit” that May Require Insurers to Defend Construction Professionals

Any construction professional working in Florida likely is familiar with the state’s notice and opportunity to repair statute (“chapter 558”) that creates a process for trying to resolve construction defect claims without litigation. As the first step in this mandatory process, a property owner must serve a chapter 558 notice…

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Counsel, Conflicts & Fees: A Dynamic Duo of Cases in 2017

Returning to the work routine after the winter holidays can certainly be a drag—but some new case law from the past year should put policyholders in higher spirits as 2018 begins. In two decisions with the potential for broad impact, courts expanded the ability of policyholders to recover attorney’s fees…

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Changes Lie Ahead for Companies in the #METOO Era – A Good Insurance Program Should Be a Part of those Changes

America is facing a reckoning. Many brave individuals have stepped forward over the last several months to speak truth about sexual harassment and assault in workplaces, in entire industries, and even in Congress. For a very long time, companies dealt with sexual assault and harassment allegations quietly and in backrooms,…

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Settling Complex Insurance Claims – Choosing the Right Path

In most cases, a reasonable settlement produces a better result than litigation. A good settlement should provide more of what you need at a lower cost with less interruption of your core business. Abraham Lincoln is credited with the following advice: “Discourage litigation. Persuade your neighbors to compromise whenever you…

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Insurance for “Acts of Terror” – Are You Protected?

The Las Vegas massacre. The Ariana Grande concert bombing in Manchester, England. The Pulse nightclub in Orlando. The concert hall attack in Paris. The mass shooting at a movie theater in Aurora, Colorado. The quickening drumbeat of attacks on companies and businesspeople that host public events and on those who…

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Time is of the Essence: Multinational Companies Must Respond to Cyber Regulation

One thing is for certain: cyberattacks have become the norm, not the exception. Not even the NSA is capable of completely warding off security breaches. Major banking and retail institutions, as well as the government, are not surprisingly the most likely targets because of the amount of sensitive and private…

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Some Decisions Policyholders Can Be Thankful for this Year

It’s that time of the year when Americans gather together, enjoy a feast, and fall asleep in front of the TV. But before the tryptophan kicks in, we also like to give thanks for the good things that have happened in the past year. Corporate policyholders can share in the…

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Are Smart Contracts Smart Enough for the Insurance Industry?

Third-party intervention may now prove unnecessary when interpreting and enforcing contract provisions—at least this is what proponents of smart contracts believe. The overall goal, they argue, is to provide security unattainable through traditional contract law, and to reduce additional transaction costs that come with the traditional process. Will insurance policies…