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Perspective

Jul. 22, 2011

Insurance litigation storm warnings on the horizon

A state appellate ruling prompts predictions of an uptick in consumer protection lawsuits against insurers. By Deborah L. Stein of Simpson Thacher & Bartlett LLP


By Deborah L. Stein


Reports of Moradi-Shalal's death have been greatly exaggerated. Or have they? Last month, the 2nd District Court of Appeal issued a decision in Hughes v. Progressive Direct Insurance Co. allowing an unfair competition putative class action to proceed against an automobile insurer under Section 17200 of California's Business and Professions Code (the unfair-competition law). Hughes quickly prompted predictions of an...

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