Loading LiveCycle Banners.
  1. News Articles
  2. Related News Articles
News Article Details

Broker Bid-rigging Lawsuit Partly Restored by Appellate Court

Source: Reactions

Back | A- | A+
 Email This     Print     Subscribe

Posted on 20 Aug 2010

The US Third Circuit Court of Appeals in Philadelphia has opted to partially restore a nationwide class-action lawsuit in which several insurance companies and brokers were charged with bid-rigging, a move that essentially reinstates antitrust and racketeering claims at the center of which are March & McLennan companies.

The ruling also reinstated racketeering claims against some brokerages, as well as some claims under New Jersey law.

It was only a partial defeat for the brokers and insurers, though. The report said that the three-judge panel upheld the rest of a September 2007 decision by US District Judge Garrett Brown in Trenton, New Jersey, that had dismissed the lawsuit.

The brokers were accused of colluding with the insurers to steer clients to particular insurers in exchange for payments.

In February of last year Marsh agreed to pay $69 million to settle its part of the class-action case. It had already agreed to pay $850 million to settle Spitzer's charges in January 2005.


Post a Comment
If you are a Storefront / Tradingfloor user, click here to login.
Note: As a guest user, please fill out the form below to post a comment.
Post your comments here.
Name :
Email Address :
Captcha :
Comments :
Character left : 2000