Recent Publications


Director of Insurer’s Retirement Plans Business Unit Found Exempt from FLSA Overtime Rules
February 28, 2014 | Insurance Coverage | Labor & Employment | Appeals

The plaintiff in this case was hired by Standard Insurance as Director of Institutional Sales and Product Manager for The Standard’s 403(b) and 457 retirement products shortly after the company introduced a new product into those markets. The plaintiff’s responsibilities included training staff about 403(b) plans, explaining their differences from 401(k) plans, doing what was

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Insured Can Use Third Party Payments to Satisfy SIR Provision, Florida Supreme Court Holds
February 28, 2014 | Insurance Coverage

The Florida Supreme Court, answering a question certified by the U.S. Court of Appeals for the Eleventh Circuit, has ruled that an insured general contractor could use payments to it from a third party subcontractor under a contractual indemnity obligation to satisfy its own insurance policy’s self-insured retention (“SIR”) provision. The circuit court also decided

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Circuit Affirms District Court’s Ruling that Archdiocese Was Not Entitled to Coverage for Claims It Settled for Which It Was Not Legally Liable
February 28, 2014 | Insurance Coverage

The U.S. Court of Appeals for the Eighth Circuit, affirming a district court’s decision, has ruled that the Archdiocese of St. Louis was not entitled to coverage under its insurance policy for a settlement of claims for which it was not legally liable.

The Case

After the Archdiocese of St. Louis and Archbishop Robert J.

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CAFA’s $5 Million Amount-in-Controversy Requirement Can Be Met Where Plaintiff Seeks Only Declaratory Relief, Eleventh Circuit Rules
February 28, 2014 | Insurance Coverage

The U.S. Court of Appeals for the Eleventh Circuit, reversing a district court’s decision, has determined that the $5 million amount-in-controversy requirement under the federal Class Action Fairness Act (“CAFA”) for federal subject matter jurisdiction can be satisfied where a plaintiff seeks only declaratory relief.

The Case

After Florencio Sanchez was injured in an automobile

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Circuit Court Finds that Additional Insured Endorsement Limiting Coverage to Ongoing Operations Did Not Afford Coverage for Construction Defect Claim
February 28, 2014 | Insurance Coverage

The U.S. Court of Appeals for the Fifth Circuit, reversing a district court’s decision, has ruled that an additional insured endorsement that limited coverage to ongoing operations did not afford coverage for a construction defect claim, arising out of completed operations, asserted against a general contractor who was an additional insured on a subcontractor’s commercial

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Texas Supreme Court Decides that Contractual Liability Exclusion Did Not Bar Coverage of Construction Defect Claims against General Contractor
February 28, 2014 | Insurance Coverage

The Texas Supreme Court, answering a question certified to it by the U.S. Court of Appeals for the Fifth Circuit, has ruled that a general contractor that entered into a contract in which it agreed to perform its construction work in a good and workmanlike manner, without more specific provisions enlarging this obligation, did not

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Excess Insurer Not Obligated to Indemnify Insured for Defense Costs to Which It Had Not Consented
February 28, 2014 | Insurance Coverage

A Delaware trial court has ruled that an excess insurance carrier did not have a duty to indemnify its insured for defense costs to which it had not consented. The court also found that there was no requirement that the insurer had to act reasonably when withholding consent.

The Case

Mine Safety Appliances Company (“MSA”)

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New York State and Federal Government Reach Deal on MRT Waiver
February 18, 2014 | Health Services

After months of negotiation, Governor Andrew Cuomo announced on February 13th that New York State has reached an agreement in principle for the Medicaid redesign waiver the Cuomo administration had long-sought. The waiver will allow the state to reinvest $8 billion of federal savings generated by the State back into programs designed to improve health

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Defamation Claims Come of Age on the Internet
February 18, 2014 | Intellectual Property | Complex Torts & Product Liability | Professional Liability

All of the elements necessary for defamation claims seem to have coalesced on the Internet. There is the ease of posting content, including videos, on blogs and chat sites; the ubiquity of tweets, email, blogs and text messages; the pervasive abandonment of personal privacy; and the ability for almost anyone to quickly set up a

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Executive Budget Proposes Changes to Out-of-Network Billing
February 10, 2014 | Health Services

Governor Cuomo’s budget contains many proposed changes to the Public Health Law (some of which are discussed here), but another set of significant changes that will affect providers and patients is contained in the Insurance Law. The Transportation, Economic Development, and Environmental Conservation (“TED”) Article VII bill contains proposed legislative changes that would alter the

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Governor Cuomo’s Budget Includes Legislative Amendments to Urgent Care
February 10, 2014 | Health Services

Governor Cuomo recently announced his 2014-15 executive budget for New York State. The new budget contains some relevant legislative changes for healthcare within the State, including a pilot program for private business to partner with academic medical centers to own or operate hospitals, an expansion of office-based surgery (“OBS”), and expansion of urgent care services. 

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The Growing Role of Telehealth and Possible Pitfalls for Providers
February 10, 2014 | Health Services

Long wait times and difficulty for a patient to get convenient doctor’s appointments have long been issues for patients seeking medical treatment.  The expansion of individuals with health insurance due to the Affordable Care Act will cause the issue to grow as more individuals have access to health care services they previously did not.  With

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Federal District Court Orders Hospital to Unwind Acquisition of Physician Group
February 10, 2014 | Health Services

On Friday, January 24th, Judge B. Lynn Winmill blocked the acquisition of Saltzer Medical Group (“Saltzer”) by St. Luke’s Health System (“St. Luke’s”) in Idaho.  The District Court Judge held that the merger violated antitrust laws, and allowing the merger to remain in place would give St. Luke’s greater bargaining leverage with health plans and

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Measuring Compliance Risk in Health Care Transactions
February 10, 2014 | Health Services

Health care compliance attorneys are frequently asked to “rate” the risks around various existing or proposed business arrangements involving medical professionals.  Could a given arrangement be viewed as a violation of the Stark Self-Referral Law (“Stark”) or Anti-Kickback Statute (“AKS”)?  Are there compelling, or at least plausible, arguments for why the arrangement should instead be

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New York Insurance Coverage Update
February 1, 2014 | Insurance Coverage

New York Court of Appeals Vacates K2, Rejecting “Automatic Indemnity” Where Insurer Breaches Duty to Defend

In K2 Investment Group, LLC v. American Guarantee & Liability Ins. Co., the insurer breached its duty to defend, and a default judgment was entered against its insured. The New York Court of Appeals has vacated its controversial June

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