Jury Awards Insured $20 million in damages against its former insurance broker
On Friday, June 17th, at 5:00pm, a Federal Court jury in the Southern District of New York handed a second knockout blow to Alliant Insurance Services Inc., a national insurance brokerage firm that had bungled the insurance coverage for buildings at Industry City/ Bush Terminal ahead of Hurricane Sandy. Cammeby's is a New York real estate management company with an excess of $1.5 billion in properties under management.
Following a claim for $30,000,000.00 worth of hurricane related damages at Industry City on October 29th 2012, Cammeby's insurance company, Affilliated FM, informed it that prior to the loss the coverage had been reduced by $20,000,000.00. Thereafter Cammeby's retained the highly regarded Insurance Coverage firm Weg and Myers to sue Affiliated FM and its insurance broker, Alliant Insurance Services.
In August of 2014, the case was tried for the first time by Weg and Myers' partner, Dennis D'Antonio. Prior to the first trial, a $1,000,000.00 settlement offer had been turned down. Following a two week trial, a jury returned a $20,000,000.00 verdict in favor of Cammeby's finding that Alliant was negligent. Thereafter, the verdict was set aside by Judge Rakoff based upon an instruction that had been given to the jury after they had begun deliberations. More recently, after turning down a $4,000,000.00 offer from Alliant, the matter proceeded to a second trial before Judge Rakoff that began on June 8, 2016. At the second trial, the case was again tried by Dennis D'Antonio and his partner Joshua Mallin. On June 17th, a second jury in as many years returned a second $20,000,000.00 verdict against Alliant in favor of Cammeby's. Accordingly, the amount now due to Cammeby's, with interest, will exceed $26,000,000.
Cameby's was represented by Dennis D'Antonio and Joshua Mallin of Weg and Myers , PC, who were assisted by associates Krysta Ku and Daniel Belzil.
Cammeby's trial attorney is Dennis D'Antonio, Esq. who is the managing Partner and lead trial lawyer for Weg and Myers, a boutique Manhattan Insurance Coverage firm representing the real estate industry in insurance coverage matters for over 30 years. Mr. D'Antonio's largest single insurance recovery to date is $150,000,000.00.
Alliant was represented at the first trial by Paul Kovner of Rubin Fiorella & Friedman LLP
Alliant was represented at the second trial by Paul Kovner of Rubin Fiorella & Friedman LLP and Richard A. Simpson and Benjaman C.Eggert of Wiley Rein LLP
For further information, please contact Dennis D'Antonio at 212.227.4210; 646.361.0693 or firstname.lastname@example.org.
Click here to read a copy of Judge Rakoff's Findings of Fact and Conclusions of Law
The effects of Superstorm Sandy has put insurance in the forefront of people's minds once again. It has become clear that many insurance claims remain unresolved. As a result, in an unprecedented move, both the States of New York and New Jersey have instituted mediation programs for certain Sandy claims that have been denied or remain unresolved. While New York has limited this program to residential non-FEMA claims, the announcement out of the New Jersey Governor's Office indicates that its program, not yet codified will include non-FEMA commercial claims as well. Click here to see a copy of the New York regulations. You can also
click here for a copy of the press release in connection with the New Jersey mediation program. Once this becomes codified we will post this on our website. In addition, as a public service, we have prepared a basic checklist that all policyholders can review in connection with claims that they may have. This checklist only covers the basics as it relates to claim presentations and is primarily geared to the homeowner who may be confronted with these insurance issues for the
Please click here to access this checklist. In addition, since preparing this checklist, FEMA has issued a Bulletin which suspends various Proof of Loss filing requirements for Superstorm Sandy claims that were referenced in the checklist.
Click here to access a copy of that Bulletin. For more sophisticated business and homeowner claim issues, we are available for consultation.
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