Date: 09-10-2001

Case Style: Rogers Recovery Company, Inc. v. Keith Harris

Case Number: CJ-2000-746

Judge: Noma D. Gurich

Court: District Court, Oklahoma County, Oklahoma

Plaintiff's Attorney: Gary Underwood, Oklahoma City, Oklahoma

Defendant's Attorney: Jerry Pignato, Oklahoma City, Oklahoma

Description: The plaintiff claimed the defendant insurance agents were negligent "in failing to procure a valid insurance policy from a viable insurance company". The plaintiff also asserted claims for breach of contract and statutory violation (36 O.S.section 1101). In short, the plaintiffs approached my clients asking for assistance in obtaining a policy of liability insurance for their automobile repossession business. My clients could not locate such a policy through their markets, so they consulted a recognized industry publication called Roughnotes, which lists brokers nationwide who specialize in certain types of coverage. It was there that my clients found a broker in Dallas who advertised that he could obtain this type of difficult-to-find coverage. However, unknown to my clients, this particular broker was not licensed in Oklahoma for any purpose and did not disclose that fact. The broker was able to procure a policy from an off-shore, unregulated, and unauthorized company. Later, when a substantial claim was made against the insured (the plaintiff), it was discovered that this insurance company was not only belly-up, but it - along with its principals - was the subject of a criminal indictment brought by the U.S. Justice Dept. The broker also filed bankruptcy and had no E&O coverage, leaving only my clients as potential defendants.

Outcome: Defendant's verdict.

Plaintiff's Experts: Unknown

Defendant's Experts: Unknown

Comments: None