Rigsbys file “Motion to Reconsider Scope of Proceedings in Light of Evidence Adduced in Discovery” – ask Court for additional time to conduct Discovery into “the Scheme”

“Relators, through limited discovery, have already obtained sufficient evidence to demonstrate that State Farm engaged in a broad, systemic, intentional scheme to defraud the government. Moreover, discovery has revealed that State Farm’s scheme extends far beyond the McIntosh flood claim…”

While State Farm’s legal team has made every attempt to turn the upcoming trial into a “Scruggs sideshow” despite Judge Senter’s Order to the contrary, Counsel for the Rigsbys’ has, instead, presented the Court with the opportunity to reconsider the Scope of the Proceedings – an option commentor James Barbieri suggested when he posed the question, “if Judge Vance has expanded the scope, doesn’t this force Judge Senter to move beyond McIntosh”.  However, the Rigsbys’ Motion to Reconsider relied on evidence of “the scheme” gleaned from evidence revealed in Discovery, evidence supported with Exhibits attached to the Motion and discussed in the accompanying Memorandum in Support of Motion to Reconsider Scope of Proceedings…

“The NFIP Claims Manual requires that “repair estimates should be prepared room-by-room,on a unit-cost basis, clearly indicating dimensions and unit costs, except when the building has been completely destroyed.” NFIP Director David Maurstad testified that prior to Hurricane Katrina, flood claims had to be adjusted using a line-by-line stick build estimate. Maurstad also testified that following Hurricane Katrina, he tasked the NFIP Director of claims to come up with a method that “I could ultimately approve that could guide the Write Your Own Companies to handle claims in an expedited process specific to this . . . disaster, to Katrina.”

Maurstad testified that FEMA Directive W-5054 embodied the only expedited claims procedures that he authorized.  That directive allowed adjusters to use a square foot value estimator instead of a line-by line estimate in two very narrow circumstances: (1) when a home “had standing water in it for an extended period of time”; or (2) when a home was “washed off its foundation by flood water.”

Discovery revealed that State Farm ignored the NFIP and Memorandum W-5054. Rather than follow the NFIP’s rules, State Farm expressly applied their own rules, Continue reading “Rigsbys file “Motion to Reconsider Scope of Proceedings in Light of Evidence Adduced in Discovery” – ask Court for additional time to conduct Discovery into “the Scheme””

Thomas "Chris" McIntosh speaking on the record about settlement with State Farm – a Rigsby qui tam update

“Thomas “Chris” McIntosh trusted insurance companies before Hurricane Katrina…My grandfather was in the insurance business. My father was in the insurance business, and I grew up trusting the insurance business…you knew if you paid your premiums, they would take care of you…I trusted State Farm when they walked in my door, and I had no reason to distrust them. I had trusted them for 20 years, and I trusted them for the year after that they lied to me and defrauded me, and now I probably will never trust anybody again in my life.”

Anita Lee’s Homeowner lambasts State Farm, appearing in today’s Sun Herald, reports McIntosh speaking on the record about his settlement with State Farm – in contrast to the record speaking for McIntosh:

“As part of the settlement, the McIntoshes acknowledged in the dismissal order entered into the court record that State Farm had a “reasonable basis” for its original payment and adjusted the claim fairly.

State Farm attorney Robert Galloway quizzed McIntosh about the dismissal order during the pretrial testimony. Galloway asked McIntosh if he agreed the majority of damage to his property was caused by flooding, as the order said. McIntosh said he did not know.

“So you don’t disagree with that?” Galloway asked. “You’re just saying you don’t have personal knowledge one way or the other?

As a long day of questions drew to a close, McIntosh responded: “I vehemently disagree, and I disagreed with this and was extremely (upset) at my counsel when I read this.

“I didn’t approve it. I didn’t read it in advance. I have no doubt that State Farm wrote it and gave it to my counsel; and at this point, we were financially unable to continue, and the message was sent to us that — excuse my language — but we would never see a (expletive) dime if we didn’t settle now. It would be appealed till hell froze over.”

Frankly, it appeared hell was at least icing down when McIntosh v State Farm settled “on the date the Rigsbys… ‘Response to the second set of dispositive motions’  was due”.  SLABBED reported: Continue reading “Thomas "Chris" McIntosh speaking on the record about settlement with State Farm – a Rigsby qui tam update”