News
Question of Fact as to whether Misuse of Prescription Medication is Foreseeable
In a significant ruling, the Mississippi Supreme Court affirmed the Court of Appeals decision, which reversed the trial court’s grant of summary judgment and remanded the case for further proceedings. The case involved a multi-vehicle accident on Interstate 10, resulting in the prescription and subsequent misuse of pain medication that led to acute liver failure and ultimately the death of Marcus D. Smith. Smith’s widow filed a wrongful death suit, alleging that the misuse of the prescription pain medication was a foreseeable result of injuries sustained in the accident. The trial court disagreed, entering summary judgment on those claims in favor of the defendants. The Court of Appeals and later the Supreme Court found that there was a question of fact as to whether a reasonable juror would conclude that the misuse was foreseeable. The Court’s decision affirms the foreseeability of a particular injury and the presence of an intervening cause as questions for the finder of fact, marking a pivotal development in the legal landscape surrounding car accident-related injuries and their unforeseen consequences. This ruling is expected to have far-reaching implications for similar cases in the future. Read more>>>CO174703.pdf (ms.gov)
Court Affirms Decision to Correct Scrivener’s Error in Irrevocable Trust, Conforming to Settlor’s Intent
In a landmark ruling, the Mississippi Supreme Court affirmed the decision of the trial court to reform an irrevocable trust in order to correct an alleged scrivener’s error. The petition to reform the remainder distribution clause was granted based on clear and convincing evidence of the settlor’s original intent at the time of creating the trust. Finding the petitioners submitted clear and convincing evidence of the settlors intent, the appellate court found the Chancellor did not abuse his discretion in allowing the reformation. This decision is the first to analyze Miss. Code Ann. §91-8-415, and marks a significant development in trust law. Read more >>>CO174401.pdf (ms.gov)
Recent Shift in DOJ Enforcement Trends for Paycheck Protection Program (PPP)
trends indicate a notable shift in the US Department of Justice’s (DOJ) focus on False Claims Act (FCA) enforcement actions related to PPP applicants’ technical compliance with complex PPP rules and regulations. This represents a departure from the DOJ’s prior emphasis on combatting more evident instances of alleged fraud within the PPP. At the 2024 Qui Tam Conference, the DOJ revealed that it had recovered $2.7 billion through a record 543 FCA settlements and judgments in fiscal year 2023, with approximately half of these involving PPP loans, resulting in over $48.3 million in recoveries. Assistant US attorneys emphasized that PPP enforcement actions remain a significant priority, with ongoing expectations for continued investigations into alleged PPP fraud. Read more>>> Paycheck Protection Program Enforcement Likely to Continue with Focus on More Complex Cases – Lexology
US District Court Rules in Favor of Plaintiffs in Insurance Coverage Case Against Allstate Vehicle and Property Insurance Company
In a significant ruling, the United States District Court for the Western District of Washington has sided with Plaintiffs Benny and Guangying Cheung in their insurance coverage dispute against Allstate Vehicle and Property Insurance Company. The case centered on whether the damage to the Plaintiffs’ property was caused by theft or vandalism, as neither term was defined in the policy. The Court’s decision, which followed the Plaintiffs’ claim for coverage after their property was damaged and items were stolen, highlighted the pivotal role of precise policy language interpretation in insurance coverage cases. Ultimately, the Court held that the damage resulted from theft, not vandalism, and ruled in favor of the Plaintiffs, emphasizing the crucial importance of clarity in policy language. Read more>>>Court Differentiates Vandalism from Theft in First Party Insurance Policy – Lexology
Headline: Louisiana Supreme Court Rules on Insurance Policy’s Effect on Prescriptive Period
Summary: The Louisiana Supreme Court has made a significant ruling regarding the prescriptive period for bad faith claims against insurers. The court held that an insurance policy’s two-year limitation on the institution of suits by a policyholder creates a two-year prescriptive period for bad faith claims, regardless of the usual 10-year prescriptive period. This decision reinforces the authority of the insurance contract between parties and clarifies the enforceability of contractual limitations on suits by the insured. Read More>>>LA Supreme Court Clarifies Contract Controls Prescriptive Period for First-Party Bad Faith Claims – Lexology
Headline: Mississippi Supreme Court Affirms Judgment in Hardaway v. Howard Industries Bad Faith Denial Case
Summary: The Mississippi Supreme Court has upheld the trial court’s decision in the case of Vince Hardaway versus Howard Industries, Inc. This appeal centered around Hardaway’s claim of bad faith denial of workers’ compensation benefits by Howard Industries, a self-insured corporation. The Court affirmed the previous rulings that the conduct of Howard Industries did not amount to gross negligence or an independent tort. The case involved a series of events, including Hardaway’s diagnosis of carpal tunnel syndrome, treatment, work restrictions, and the eventual filing of a petition to controvert and a Motion to Compel Temporary Partial Disability Benefits. The Court’s decision maintains the judgment against Hardaway, bringing closure to this legal dispute. Read More >>> CO173918.pdf (ms.gov)
Headline: Mississippi Supreme Court Upholds Decision in SDBT Archives LLC Insurance Claim Dispute
Summary: The Mississippi Supreme Court has ruled on the case involving SDBT Archives LLC’s insurance claim for hail damage to its storage warehouse in Greenville, Mississippi. The dispute stemmed from the cancellation of SDBT’s policy by BGA Finance Inc. following a missed payment, leading to a denial of SDBT’s subsequent insurance claim by Penn-Star Insurance Company. Despite SDBT’s argument that the policy was not properly cancelled prior to the hailstorm, the Court affirmed the lower court’s decision, finding no error in the judgment. The ruling determined that section 81-21-19 included provisions allowing for separate cancellations of insurance policies, ultimately leading to the affirmation of the defendants’ summary judgment. This decision marks a significant development in the legal resolution of the insurance claim dispute. Read More >>>SDBT Archives LLC v. Penn-Star Insurance Company and BGA Finance Inc. :: 2023 :: Mississippi Court of Appeals Decisions :: Mississippi Case Law :: Mississippi Law :: US Law :: Justia
Headline: Texas Court Affirms Two Separate “Occurrences” of Employee Dishonesty in Ran-Nan, Inc. Insurance Dispute
Summary: The contractual dispute between General Accident Insurance Company and Ran-Nan, Inc. stems from an “Employee Dishonesty Coverage” insurance policy. The district court found that Ran-Nan experienced two distinct “occurrences” of employee dishonesty, leading to General Accident’s breach of contract for refusing to compensate for both incidents. Despite General Accident’s argument for only one “occurrence,” the court affirmed the interpretation of the term “occurrence” under Texas law, ruling in favor of Ran-Nan. This decision clarifies the application of the “occurrence” definition in employee dishonesty policies and highlights the entitlement of Ran-Nan to recover for both incidents. Read more>>>00-11034.cv0 (uscourts.gov)
Headline: Texas Circuit Court Affirms Summary Judgment in Favor of Defendants in Segerstrom Estate Legal Dispute
Summary: In a legal battle involving Kayla Segerstrom’s Chapter 7 bankruptcy estate, the Texas circuit court upheld a summary judgment favoring defendants Touchstone, Bernays, Johnston, Beall & Smith L.L.P. and Employers Fire Insurance Company. The case involved allegations of legal malpractice, breach of fiduciary duty, and breach of contract stemming from an unfortunate accident leading to significant liabilities. Despite appeals and motions to compel discovery, the court affirmed the prior judgment, providing clarity on the application of attorney-client privilege within the context of legal malpractice action. Read more>>>00-10216.cv0 (uscourts.gov)
Headline: Landmark Ruling in Novolex Holdings, LLC v. Illinois Union Insurance Highlights Complexities of Representation-And-Warranties (R&W) Insurance Cases
Summary: The recent judgment in Novolex Holdings, LLC v. Illinois Union Insurance, et al., handed down on Jan. 12, 2024, has garnered significant attention within the legal and insurance communities due to its rare exploration of issues within the representations-and-warranties (R&W) insurance domain. The case, arising from Novolex’s acquisition of The Waddington Group (TWG), involved alleged breaches of multiple representations in the equity purchase agreement (EPA), forming the basis of R&W insurance claims. Notably, the court’s analysis delved into the precise language of the R&W policies and deal agreements, shedding light on the potential application of general interpretative doctrines unfavorable to insurers even in agreements between sophisticated parties. The decision underscores the intricate nature of R&W insurance cases and highlights the significance of meticulous scrutiny of contractual language in such transactions. Read More>>>Case Alert: Novolex v. Illinois Union Insurance, et al. | Kramer Levin
Headline: U.S. Department of Labor Finalizes Rule Impacting Independent Contractor Classification
The U.S. Department of Labor has released a final rule that will make it more challenging for companies to maintain the classification of workers as independent contractors under the Fair Labor Standards Act (FLSA). The new rule utilizes an “economic realities” test, incorporating six factors to determine classification. It is set to take effect on March 11, 2024, prompting employers to review the classification of independent contractors before this date. Read more >>> Department of Labor Finalizes Rule Change on Independent Contractor Classification – Lexology
Our goal is to provide our clients with the expertise, information and personal attention necessary to make the right decisions in difficult situations.
Reach us
| Mailing Address: | PO Box 496, Tupelo, MS 38802 |
| Phone: | Tupelo Office: 662-844-2137 |
| Fax: | 662-842-3863 |
IMPORTANT LINKS
2022 Webb Sanders & Williams, P.L.L.C. All rights reserved.
Web Design & Hosting by Ignited Digital Marketing