Unfair trade practices

Peter S. Selvin

In the following guest post, Peter S. Selvin, a partner with Beverly Hills, California based Ervin, Cohen & Jessup law firm where he chairs the firm’s insurance coverage and recovery practice, reviews two recent case decisions involving the question of whether or not D&O insurance policies apply to provide coverage for consumer protection claims arising from the sale or marketing of products. A version of this article previously published in the Los Angeles Daily Journal. I would like to thank Peter for allowing me to publish his article as a guest post on this site. I welcome guest post submissions from responsible authors on topics of interest to this blog’s readers. Please contact me directly if you would like to submit a guest post. Here is Peter’s article.
Continue Reading Guest Post:  Are Consumer Protection or False Advertising Claims Covered by Insurance?

In the current litigation environment, employers face an ongoing threat of claims brought by employees alleging violations of wage and hour laws, often filed as class actions. These kinds of lawsuits can be expensive to defend and to resolve. In general, management liability insurers try to avoid providing coverage for these kinds of claims, except for very limited amounts of defense cost coverage. A recent district court decision holding that the management liability insurance policy of the women’s clothing retailer Talbots did not cover a wage and hour class action lawsuit pending against the company illustrates the barriers policyholders face in attempting to secure coverage for these kinds of claims. Both the policy language at issue and the outcome of the Talbots insurance coverage dispute arguably are unremarkable. However, the outcome does raise questions about whether there might be ways for policyholders at least to obtain effective defense cost coverage for these kinds of claims.
Continue Reading Thinking About Wage and Hour Claims and Management Liability Insurance