Breaking News -Judge Senter’s Order allows deposition of Lecky King in Rigsby qui tam UPDATED with link and comment

There are two types of discovery sought by the Relators, namely documents related to the insurance claim giving rise to this cause of action (referred to herein as “the McIntosh claim” or “loss”), and the depositions of seven individuals (three of whom are associated with the Defendants, with the remainder being witnesses to the McIntosh loss).

Defendants, speaking primarily [268] [269] through State Farm Fire and Casualty Company (State Farm), do not object to producing the McIntosh flood claim file; the McIntosh homeowner’s claim file; any photographs or video images of the McIntosh property in State Farm’s possession; and repair invoices and related materials concerning the McIntosh property.

Obviously, that leaves the issue of the seven depositions requested by the attorneys representing the Rigsby sisters – and that’s where I found Judge Senter’s thinking in the Order for discovery prior to the upcoming pretrial hearing most interesting.

He clearly gave the subject a great deal of thought; but, the question is what was he thinking. My non-lawyer reading about the False Claims Act leads me to believe that had he ruled against the Rigsbys without allowing discovery, his decision would have been ripe for appeal.

I want to believe he allowed discovery, and particularly the deposition of Lecky King, because it is unquestionably the right thing to do.  There will never be the needed healing if the people on the Coast feel the Court has not been fair. Continue reading “Breaking News -Judge Senter’s Order allows deposition of Lecky King in Rigsby qui tam UPDATED with link and comment”

kudos for Wilson – not yet

Regulate me, please, the opinion column written by Allstate CEO Tom Wilson, appeared in the April 15 NYT in the guise of Wilson’s on-going effort to garner support for national regulation of the insurance industry.

Calling  it his CDS mea culpa, Option ARMageddon gave Wilson “kudos” for coming clean:

My company, Allstate, serves more than 17 million American households.  While we played only a small role in unregulated insurance markets, we have a duty to help stabilize the financial system. It was, after all, an insurance product that contributed to the risk that almost brought down the global economy.

New York State’s Insurance Superintendent, Eric Dinallo, on the other hand, had no kudos to offer:

“While the credit default swap market is not regulated, insurance company use of credit default swaps is,” Mr. Dinallo said in a statement. “In New York, no insurance company can use credit default swaps except under very specific and limited ways and only with approval.”

Was Option ARMageddon spot on or was Wilson’s agenda to set up Dinallo and DOI to the advantage of his efforts to secure national regulation of the insurance industry?  Dinallo’s press release suggests Wilson may have had another agenda – one that would lead to Hank Greenberg, AIG, and, perhaps, other insurers. Continue reading “kudos for Wilson – not yet”

SLABBED Daily – April 20 UPDATED

going, going, gone – MRGO has gone to trial

Starting in federal court today, a group of New Orleans and St. Bernard Parish residents will square off against the Army Corps of Engineers in a trial they hope will prove that failure to properly build and maintain the Mississippi River-Gulf Outlet eroded protective wetlands and led to massive flooding that destroyed their homes and businesses during Hurricane Katrina.

The corps will try to convince Judge Stanwood Duval that even with the best possible maintenance of the MR-GO, only better and higher hurricane protection levees could have held back the storm surge.

The trial, expected to last three to four weeks, will be conducted by Duval without a jury.

MR-GO gets ready to go to trial – Part 1- the government’s seven motions in limine

Breaking News – Judge Duval denies six of seven motions in limine filed in MRGO

MR-GO gets ready – Part 2- Duval’s Order on motions in limine gives Plaintiffs green light to try their case

MR-GO gets ready to go – Part 3 – the Plaintiffs’ case

MR-GO gets ready to go – Part 4 – the Defense

Judge Duval rules – and says so in an Order

The trial is getting under way as work continues to close the MR-GO, Continue reading “SLABBED Daily – April 20 UPDATED”