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N.J. Legislature Proposes Direct Cause of Action Against Insurers Who Dodge Disaster Claims

Per The NJ Law Journal:

"A bill proposed in Trenton would give New Jersey victims of disasters like Hurricane Sandy a private right of action against their insurance companies over improper handling of their claims.

"Individuals as well as businesses and other legal entities would be entitled to sue over a direct or assigned right to payment for a contingency or loss covered by an insurance policy.

"The bill, A-4382, filed Sept. 9, would cover not only natural disasters but also technological or civil calamities that result in a declared state of emergency by the governor or president.

"Insureds would be able to recover their full damages, regardless of coverage limits, as well as legal fees, expenses and punitive damages.

"The claims would be based on the kind of conduct that is already defined in the state insurance law as 'unfair claim settlement practices,' which include:

• misrepresenting pertinent facts or policy provisions concerning coverage;
• failing to respond "reasonably promptly" to claims-related communications;
• failing to adopt and implement reasonable claims investigation standards;
• compelling insureds to sue for coverage by offering substantially less than the amounts ultimately recovered in litigation; and
• failing to make a good-faith attempt "to effectuate prompt, fair and equitable settlements of claims in which liability has become reasonably clear."

Full article after the jump...

Gov. Christie to Appeal Sports-Betting Ban to U.S. Supreme Court

Per NJ.com

"Gov. Chris Christie vowed today to take the New Jersey's case to legalize sports betting all the way to the U.S. Supreme Court after a three-member appellate panel dealt a setback to the state.

"The federal appeals court in Philadelphia handed down a 2-1 ruling today that New Jersey could not implement sports betting because the state’s new law conflicts with a federal statute that bans it in all but four states: Nevada, Delaware, Montana and Oregon.

"The state has the option of appealing the decision to the full Court of Appeals for the Third Circuit, but Christie insisted he planned to take the case directly to the U.S. Supreme Court.

“'Yes, if the Supreme Court will take it,' he said at a campaign event in Paramus. 'We’re definitely going to ask them to.'”

Full article after the jump...

Red-Light Camera Class Action Settlement Approved - Telliho v. American Traffic Solutions

Per The New Jersey Law Journal:

"A federal judge on Thursday approved a $4.2 million settlement over New Jersey's much-maligned red-light traffic camera program, with an eye to fair functioning in the future.

"U.S. District Judge Peter Sheridan's order in Telliho v. American Traffic Solutions requires that a special master investigate whether the system "operates efficiently and effectively."

"Class members, which number about 408,500, will receive 10 percent of the fines they paid for camera-based tickets, ranging from $14 to $85. They must file their claims by Oct. 28.

"Legal fees of $787,000 and costs of $13,000 for class counsel will also come out of the settlement, as will fees for Special Master Joel Rosen and payments of $200 each to the 20 class representatives.

"The defendants are American Traffic Solutions and 11 towns that used its cameras: Brick, East Windsor, Glassboro, Linden, Monroe, Palisades Park, Pohatcong Township, Rahway, Roselle Park, Union Township and Woodbridge."

***

"A separate class action also pending before Sheridan names Redflex Traffic Systems, installer of red-light cameras in Newark, Cherry Hill, Englewood Cliffs, Edison and Stratford.

"Redflex announced in August that a tentative $2.1 million settlement had been reached and that class members would get 10 percent of fines paid."

Full article after the jump...