We represent the former parent of a bankrupt, former subsidiary, in connection with disputes with the former subsidiary's general liability insurance carrier regarding whether or not our client must assume responsibility for paying the $5 million self-insured retention regarding civil liability claims against the former subsidiary that had been discharged by as a result the former subsidiary's Chapter XI bankruptcy. In accordance with a separate settlement between the carrier and the subsidiary, the carrier assumed the defense of the underlying claims, agreeing in effect with the claimants that the bankruptcy of the insured subsidiary had not discharged the carrier's obligation to pay insured claims, even though 100% of the first $5 million of very claim was self-insured by the bankrupt company. The carrier then took the position that our client, also a named insured under the policies insuring the former subsidiary, had agreed in a separate Payment Agreement effectively to guarantee the obligations of the subsidiary to pay the SIR. When our client refused to reimburse the costs incurred by the carrier in defending the pre-bankruptcy claims against the former subsidiary, the carrier drew down a letter of credit place by our client to obtain reimbursement of the carrier's costs and then successfully moved to compel arbitration of the Payment Agreement dispute. The arbitration is pending.

Experience Center

Match our Experience to Your Needs

Experience Highlights

adidas America v. Nike Inc.
Served as co-lead counsel in an inter partes review proceeding before the United States Patent and Trademark Office Patent Trial and Appeal more
Social media policies for an international financial services company
Developed social media and privacy policies for international financial holding company and its banking and non-banking subsidiaries. more
Lawsuit by collegiate sports conference
Represented various member institutions of a collegiate sports conference in their lawsuit against a university by enforcing commissions and more
In re NetBank Inc.
Represented the creditors' committee and now liquidating supervisor for NetBank Inc. in connection with liquidation of this bank more