Insured/Third-Party Settlements and Consent Judgments After Insurer Denies Coverage

Navigating Collusive Settlements Between Insureds and Third-Party Claimants and Their Impact on Coverage

Recording of a 90-minute CLE webinar with Q&A


Conducted on Wednesday, March 15, 2017

Recorded event now available

or call 1-800-926-7926
Program Materials

This CLE webinar will examine the use of collaborative settlements and consent judgments between insured defendants and third-party plaintiffs as a strategy for obtaining indemnification from an insurer after the insurer has denied coverage. Listen as our authoritative panel of insurance practitioners analyzes the different types of collaborative settlements and consent judgments that have been recognized by courts across the country. The panel will discuss the factors courts consider in deciding whether a settlement is reasonable and permissible or unreasonable and collusive, and the impact such findings will have on an insurer’s obligations under its policy.

Description

When an insurer denies policy coverage for a third-party suit or issues a reservation of rights and files a declaratory judgment action, it faces the risk that the insured defendant will settle with the third-party plaintiff in exchange for a covenant not to seek recovery from the insured defendant, but instead seek recovery from the insurer. In the most extreme circumstances, Impermissible collusion between the insured defendant and the third-party plaintiff can result in the extinguishment of the insurer’s duty to indemnify. Given the frequency of litigation over such settlements, practitioners on both sides need to navigate the issue of collaborative settlements carefully.

Listen as our authoritative panel of insurance practitioners analyzes collaborative settlements and consent judgments between insured defendants and third-party plaintiffs intended to induce the insurer to indemnify after initially denying coverage. The panel will review factors the courts consider in deciding whether the settlement is reasonable and permissible or unreasonable collusion that extinguishes the insurer’s duty to indemnify.

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Outline

  1. Plaintiff’s burden to establish entitlement to collect on the judgment
  2. Recent case law and factors courts consider in determining whether a collaborative settlement is reasonable and permissible
  3. Strategies for insurers to address and defend against collaborative settlement agreements

Benefits

The panel will review these and other key issues:

  • What elements does a plaintiff have to establish to collect an excess verdict against an insurer?
  • Which factors do courts consider in determining whether a collaborative settlement is reasonable and permissible?
  • What are the best strategies for insurers to challenge collaborative settlement agreements?

Faculty

Christopher R. Dunsing, Esq.
Christopher R. Dunsing, Esq.

Langhenry Gillen Lundquist & Johnson

Mr. Dunsing is an active coverage and litigation defense counsel practicing at the state and federal trial and...  |  Read More

Bradley A. Levin
Bradley A. Levin

Shareholder
Levin Sitcoff

Mr. Levin focuses his practice on tort and commercial litigation, especially insurance bad...  |  Read More

Michael J. Steinlage
Michael J. Steinlage

Partner
Larson-King

For more than 15 years Mr. Steinlage has focused his practice on advising and representing clients in consumer and...  |  Read More

Other Formats
— Anytime, Anywhere

Strafford will process CLE credit for one person on each recording. All formats include program handouts. To find out which recorded format will provide the best CLE option, select your state:

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$297

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