Representative Matters, Litigation, Litigation Insurance & Professional Liability

The firm is engaged in litigation involving insurance coverage issues related to both directors' and officers' liability policies and fidelity bonds. Issues litigated include employee malfeasance, conversion, embezzlement, dishonesty and breach of fiduciary duty. The insureds involved in this litigation include banks, savings and loan associations, other financial institutions and securities broker-dealers.
The firm represented a joint venture of four national and international construction and engineering firms that rebuilt the City of Detroit's main water plant. This representation embraced several builder's risk and general liability insurance claims for various construction accidents that damaged the work. One claim involved the rupture of a 24 in. diameter water main that flooded the entire plant.
The firm represented a company being sued by a major insurance carrier seeking to recover $2.6 million of additional worker's compensation insurance premiums. The policies in question were retrospective rated, i.e., the final premium was a function of paid losses, not exposures. The case was settled immediately after jury selection with the insurance company recovering nothing and paying the firm's client instead.
The firm represented a large real estate developer in an action against an auditing firm for failing to detect a multi-million dollar embezzlement by the developer's bookkeeper. Despite the fact that no audit or attestation level services were performed, the firm secured a seven-figure recovery at trial based upon the American Institute of Certified Public Accountants' Management Advisory Standards (which had seldom been used to impute liability in litigation matters prior to that time).
The firm represented a municipality in a suit against its former auditing firm for failing to detect a multi-million dollar fraud regarding the management of its self-insurance program. The firm's action led to a favorable settlement for the municipality.



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	back to >> Litigation page >> Representative Matters Litigation Insurance & Professional Liability The firm is engaged in litigation involving insurance coverage issues related to both directors' and officers' liability policies and fidelity bonds. Issues litigated include employee malfeasance, conversion, embezzlement, dishonesty and breach of fiduciary duty. The insureds involved in this litigation include banks, savings and loan associations, other financial institutions and securities broker-dealers. The firm represented a joint venture of four national and international construction and engineering firms that rebuilt the City of Detroit's main water plant. This representation embraced several builder's risk and general liability insurance claims for various construction accidents that damaged the work. One claim involved the rupture of a 24 in. diameter water main that flooded the entire plant. The firm represented a company being sued by a major insurance carrier seeking to recover $2.6 million of additional worker's compensation insurance premiums. The policies in question were retrospective rated, i.e., the final premium was a function of paid losses, not exposures. The case was settled immediately after jury selection with the insurance company recovering nothing and paying the firm's client instead. The firm represented a large real estate developer in an action against an auditing firm for failing to detect a multi-million dollar embezzlement by the developer's bookkeeper. Despite the fact that no audit or attestation level services were performed, the firm secured a seven-figure recovery at trial based upon the American Institute of Certified Public Accountants' Management Advisory Standards (which had seldom been used to impute liability in litigation matters prior to that time). The firm represented a municipality in a suit against its former auditing firm for failing to detect a multi-million dollar fraud regarding the management of its self-insurance program. The firm's action led to a favorable settlement for the municipality.



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