The implementation of Sarbanes-Oxley requirements, an increase in securities class action filings, and the recent Enron/WorldCom scandals have increasingly challenged the professional liability markets. Directors & Officers (D&O) coverages have been particularly challenged by economic forces in recent years. In our featured article, Andy Harlfinger examines the D&O liability market and how past reactions to economic conditions may help predict future industry trends.
Our second article discusses the "common interest doctrine" and the protection of the attorney-client relationship in the context of reinsurance. Erich Gleber explores this issue in his look at the circumstances where reinsurers may obtain privileged communications of their reinsureds. Allison Scott next identifies a recent development in Indiana coverage law impacting successor company's rights to its predecessor's historic insurance policies. I additionally provide an update of recent developments impacting Illinois' unique targeted tender rule. Next, Tom Bernier provides a detailed overview of new Maryland insurance legislation, which, for the first time, permits a first-party "bad faith" cause of action. Finally, Shelly LeVick Masters addresses recent developments in Texas construction defect cases.
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Lawrence D. Mason, Editor