Specialty Lines

Expert Analysis

• Mitigating Employer Liability Risk Under Sex Assault Rule

  

  The American Law Institute's newly approved rule expands vicarious liability to employers for certain sexual assaults that employees commit, which could materially increase employers' exposure unless they strengthen safeguards around high-risk roles, say attorneys at Morgan Lewis.

• It Ends With Us Having No Coverage?

  

  A recent suit filed by Harco National Insurance disclaiming coverage for Wayfarer and Justin Baldoni's defense against Blake Lively's claims in the "It Ends With Us" legal saga demonstrates that policyholders should be particularly cautious when negotiating prior knowledge exclusions in their claims-made policies, says Meagan Cyrus at Shumaker.

• Ill. Toxic Tort Jurisdiction Law Raises Constitutional Concerns

  

  Illinois' S.B. 328, purporting to broaden state courts' jurisdictional reach over out-of-state corporations, is presented as a measure aimed at facilitating recovery in toxic tort cases, but the legislation raises significant due process and dormant commerce clause issues, say attorneys at Alston & Bird.

• How To Successfully Challenge Jurors For Cause In 5 Steps

  

  To effectively challenge a potential juror for cause, attorneys should follow a multistep framework rather than skipping straight to the final qualification question, says Ken Broda-Bahm at Persuasion Strategies.

• A Look At NAIC's Proposed Tool For Evaluation Of Insurer AI

  

  The National Association of Insurance Commissioners' recently proposed tool that would enable regulators to assess risks posed by insurers' use of artificial intelligence takes a more expansive approach than the organization's 2023 model bulletin, which focused primarily on consumer risks, say attorneys at Eversheds.

• How Courts Are Addressing The Use Of AI In Discovery

  

  In recent months, several courts have issued opinions on handling discovery issues involving artificial intelligence, which collectively offer useful insights on integrating AI into discovery and protecting work product in connection with AI prompts and outputs, says Philip Favro at Favro Law.

• 4th Circ. Favors Plain Meaning In Bump-Up D&O Ruling

  

  The Fourth Circuit's latest denial of indemnity coverage in Towers Watson v. National Union Fire Insurance and its previous ruling in this case lay out a pragmatic approach to bump-up provisions that avoids hypertechnical constructions to limit the effect of a policy's plain meaning, say attorneys at Kennedys.

• How NY Appeals Ruling Alters Employers' Sex Abuse Liability

  

  In Nellenback v. Madison County, the New York Court of Appeals arguably reset the evidentiary threshold in sexual abuse cases involving employer liability, countering lower court decisions that allowed evidence of the length of the undiscovered abuse to substitute as notice of an employee's dangerous propensity, say attorneys at Hurwitz Fine.

• What Calif. Insurance Ruling Means For Smoke Damage Limits

  

  As California continues to grapple with an increasing number of wildfire claims, a state court's recent Aliff v. California FAIR Plan decision serves as a clear directive to insurers that policy language that narrows the scope of fire coverage below the California Insurance Code's minimum standards is impermissible, say attorneys at Wood Smith.

• 'Loss' Policy Definition Is Key For Noncash Settlements

  

  A recent Delaware decision in AMC Entertainment v. XL Specialty Insurance, holding that the definition of loss includes noncash settlement payments, is important to note for policyholders considering other settlement options — like two other class actions that recently settled for vouchers, say attorneys at Reed Smith.

• Lively-Baldoni Saga Highlights Insurance Coverage Gaps

  

  The ongoing legal dispute involving "It Ends With Us" co-stars Justin Baldoni and Blake Lively raises coverage questions across various insurance lines, showing that effective coordination between policies and a clear understanding of potential gaps are essential to minimizing unexpected exposures, says Katie Pope at Liberty Co.

• Juries Are Key In Protecting The Rule Of Law

  

  Absent from the recent discourse about U.S. rule of law is the crucial role of impartial jurors in protecting the equitable administration of justice, and attorneys and judges should take affirmative steps to reverse the yearslong decline of jury trials at this critical moment, says consultant Clint Townson.

• How To Strengthen A Case By Mastering Expert Witness Prep

  

  A well-prepared expert witness can bolster a case's credibility with persuasive qualifications, compelling voir dire responses and concise testimony that can withstand cross-examination, says Allison Rocker at Baker McKenzie.