The Fifth Circuit yesterday reversed a fraud verdict and rendered judgment against the plaintiffs.  The case involved claims by insurers against a chiropractic clinic and others for inflating insurance claims.  Although "deeply shocked and saddened by the [defendants’] dishonest practices", the court found insufficient evidence that the insurers actually relied on medical claim submissions in paying claims or that the "disgorgement" damages award reflected actual overpayments to the defendants.  Allstate Ins. Co. v. Receivable Finance Co. LLC, No. 05-10265 (5th Cir. Sept. 20, 2007).

Barry Barnett

Feedicon Our feed wishes you a happy Friday.