Fifth Circuit Rulings (and Scruggs’s Troubles) Bolster Insurers

What a difference a year makes. The Fifth Circuit has issued rulings (e.g., here and here) favoring the insurance industry on an issue that has been at the heart of the litigation from the start: whether provisions in homeowners’ contracts excluding flood damage are enforceable. On top of this, Scruggs, who has been leading the charge in attacking insurers’ conduct on the Gulf Coast, faces criminal charges in two states. Through his lawyers he has denied any wrongdoing and is fighting the charges.

WSJ Law Blog
12/7/7