The explosive growth of representations and warranties (R&W) insurance over the last decade is no secret. But, for many, R&W insurance remains an enigma, particularly as respects filing a claim under such policies. Indeed, even those involved in buying R&W insurance may not have experience on the claims end and, as a result, possess little
Representations & Warranties
Representations and Warranties Claims Expected to Return to Normal Levels
Hunton Andrews Kurth LLP partner Syed Ahmad was quoted on July 20 in a Law360 article titled “R&W Insurance Claim Frequency Expected To Normalize.” The article discussed the recent reduction in R&W claims and industry experts’ expectations that claim frequency will return to normal levels this year. Mr. Ahmad commented on the challenges…
Representation and Warranty Insurance and the Collateral Source Rule
After any merger or acquisition, disputes can arise regarding the accuracy of representations and warranties made by the seller to the buyer. In most transactions today, the buyer obtains representation and warranty insurance to cover the buyer for losses resulting from the seller’s breach of a representation or warranty. When an R&W policy provides coverage, a seller may attempt to offset its obligations to the buyer by amounts paid by the R&W insurer. Likewise, the R&W insurer may attempt offset against the damages paid by the seller to the buyer. But other legal and equitable concepts may prevent them from doing so.
In an article recently published by the Insurance Coverage Law Center, my colleagues Syed Ahmad, Patrick McDermott, and Adriana Perez explore whether such offsets are available to sellers and R&W insurers.
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Lessons Emerging From Representations & Warranties Insurance Dispute In NY Court
A rare public dispute concerning coverage under a representations and warranties insurance policy is being litigated in New York’s Commercial Division. Although the case is only at the motion to dismiss stage, there are some preliminary takeaways that may help other practitioners in the space avoid similar disputes. Hunton insurance lawyers, Syed S. Ahmad,…
Hunton Insurance Lawyers Discuss Preserving Privilege with Reps & Warranties Insurers
In an article recently featured in FC&S Legal, Hunton & Williams insurance lawyers Syed Ahmad and Patrick McDermott discuss ways to guard against waiver of the attorney-client privilege when cooperating with insurers providing Representations & Warranties insurance coverage. The full article can be found here.