The Legal 500

Covington & Burling LLP’s 100-lawyer-strong insurance recovery group is recognised as ‘the epitome of insurance coverage’, providing ‘depth of knowledge, superior legal skills, thoughtful strategy and exceptional negotiating and litigation skills’ which are ‘without parallel in this field’. Practicing out of offices in San Francisco, New York, Washington DC and London, the firm handles a spectrum of coverage matters including mass tort liabilities, catastrophic property matters, environmental losses, and errors and omissions (E&O) and D&O exposure. The firm is representing Chiquita Brands International in ongoing litigation, in Cincinnati, arising out of an underlying claim filed under the Alien Torts Claims Act (ATCA); ‘superior litigator’ and ‘first-rate strategist’ William Skinner is leading this matter. Co-chair of the practice Mitchell Dolin is a ‘leader in this area’ and is heading the team in its representation of Sprint Nextel in two D&O coverage lawsuits pending in the US District Court for the Eastern District of Virginia and the US District Court for the District of Kansas; both suits accrue from underlying securities class actions. The firm is also representing BP in insurance coverage disputes involving approximately $1bn of insurance proceeds for the Deep Water Horizons oil spill. Co-chair Benedict Lenhart and Partner Saul Goodman are recognized as ‘strong’ and ‘deeply knowledgeable of the industry’, while John Buchanan is ‘one of the nation’s most knowledgeable coverage counsel’. Donald Brown is also highly recommended.

2010 saw the sad passing of the ‘father of policyholder representation’, Anderson Kill & Olick, P.C.’s founding partner Eugene Anderson, and the ‘outstanding’ and ‘exemplary’ reputation of the firm’s insurance recovery practice is a testament to him. With offices throughout the US, including New York, Washington DC, Ventura and Philadelphia, the firm boasts over 60 lawyers dedicated exclusively to policyholder representation. It recently advised the claimants’ committee in a number of asbestos bankruptcies including WR Grace and PPG/Pittsburgh Corning Corporation. It also acted as special insurance counsel to the debtor in the Asarco and Skinner Engine cases. A key player and co-chair of the insurance recovery group, Robert Horkovich is leading the team in its representation of the trustee for the WCI Chinese Wall Board Trust; fourteen insurance companies are involved in this coverage dispute, in which the Trust is seeking damages for breach of contract as well as coverage for up to 700 potential homeowner claims arising from the allegedly defective Chinese drywall. The firm also acted for construction management client Parsons Brinckerhoff (PB), in connection with the Boston Central Artery/Tunnel Project, in which Continental Insurance denied its duty to defend PB in suits brought by federal and state authorities. Insurance recovery practice co-chair William Passannante impresses as an ‘excellent advocate and negotiator’; New York-based Finley Harckham is recognized as a ‘formidable advocate’ with ‘in-depth knowledge’; and Rhonda Orin stands out for her health sector expertise.

Dickstein Shapiro’s coverage practice ‘exceeds expectations’, and is ‘exceptional in all regards’. 2010 saw the departure of Randy Paar but also the significant lateral hire of the ‘outstanding’ John Heintz and ‘consummate litigator’ John Schryber, noted for his ‘ability to marry his mastery of the law with the facts, circumstances and business concepts’. The addition of Marla Kanemitsu and Norah Molnar further bolstered the team, and the firm also picked up some partners in the wake of the dissolution of Howrey LLP, including Andrew Reidy and Catherine Serafin. The firm has a strong presence in the entertainment industry, and is currently representing Universal Music Group (UMG) in its coverage dispute with American Home Assurance, arising out of the insurer’s failure to defend a defamation claim against UMG. Other key names on the firm’s client roster include Fox and Sony. Head of the coverage practice Kirk Pasich and Los Angeles-based Sandra Smith Thayer lead the firm’s representation of San Diego Gas & Electric (SDG&E), having been retained by the client following the 2007 wildfire litigation to undertake negotiations with its insurer; to date, the firm has represented SDG&E in collecting over $940m under its policies. The ‘seasoned’ Edward Tessler, James Murray and Mark Kolman are recommended.

Operating out of a number of offices across the US including Chicago, Los Angeles, New Orleans, Boston and New York, Proskauer Rose LLP’s coverage team handles matters ranging from D&O and E&O liability to environmental, mass tort and product liability. The firm also represents policyholder captives and risk retention groups on the reinsurance side. The ‘excellent’ insurance recovery group, spearheaded by Nancy Sher Cohen and Steven Gilford, has a long history of representing clients in the chemical industry, and is acting for Flexible Products in connection with it recovery of defense and settlement costs of 1,700 bodily injury claims arising from exposure to Flexible’s isocyanate products in coal mines. New York-based Seth Schafler plays a pivotal role in the firm’s ongoing representation of JPMorgan Chase, as successor to both Bear Stearns and Bank One. Paul Langer has led the ongoing representation of Cargill, in matters including coverage litigation relating to property damage and bodily injury claims allegedly arising from the client’s poultry operations, and concerning the extent to which a single insurer is liable to defend a policyholder when other insurers may share the duty. The ‘thorough’ and ‘measured’ Marc Rosenthal is praised by clients. John Failla is recommended, particularly on life insurance matters.

Having expanded from its historically strong Pittsburgh base, Reed Smith LLP’s insurance recovery group has outposts throughout the US, including in Chicago, Los Angeles, New York, Philadelphia, Washington DC and San Francisco. With over 60 insurance recovery lawyers, the firm definitely has the numbers, and it ‘responds quickly; asks the right questions; considers all the relevant facts and law; and is practical.’ In 2010 Dan Hofmeister, David Goodsir and Kevin Tessier, formerly of Neal, Gerber & Eisenberg, joined the firm, bringing expertise in D&O liability and health care law. Areas of activity for the firm have included mortgage-related insurance disputes. Countrywide retained the team in litigation to stave off claims of rescission by mortgage insurers and financial guaranty companies, and the firm has had significant results for the client in its coverage litigation with United Guaranty. John Vishneski is lauded for his ‘practical experience and ability to find common ground’, and Douglas Cameron, Carolyn Rosenberg and John Shugrue are also highly recommended.

Jenner & Block LLP enters the ranking in recognition of its established reputation in policyholder representation. John Mathias chairs the insurance litigation and counseling practice, part of the firm’s 350-strong wider national litigation team. Clients note the firm’s ‘excellent’ and ‘high-quality’ service; it ‘provides real benefit’. The firm has national reach with offices in Chicago, New York, Washington DC and Los Angeles, the latter strengthened by the addition of key player Jerold Oshinsky in 2009, and more recently Mary Craig Calkins from Howrey LLP, who is noted as ‘consistently beating expectations’ and having ‘an outstanding reputation in the field’. The firm is representing third party defendant Fiserv Solutions (a provider of technology solutions) in a claim brought by First American Title Insurance in connection with Bank of America’s $550m action for losses incurred from defaulted home equity loans; and is also acting for HSBC in a $20m D&O coverage case against Princeton Eagle, arising from securities fraud claims. Washington DC-based Lorelie Masters is involved in the representation of Guardian Building Products Distribution in its action against ACE, in which the Guardian Industries subsidiary is seeking coverage under general liability insurance for an uncertain number of potential Chinese drywall claims. The practice has also seen an increase in life insurance related matters, such as representing the defendants in American General Life Insurance Company v Sussex, in the District of New Jersey (an action for rescission of a $10m life insurance policy, alleging fraud and lack of an insurable interest). Other recognized names at the firm are Matthew Jacobs and Christopher Dickinson.

Kasowitz, Benson, Torres & Friedman LLP enters the ranking this year. Name partner Marc Kasowitz has been leading the firm’s efforts to expand the firm’s insurance coverage practice, and January 2010 saw thirteen lawyers join the team from Dickstein Shapiro’s New York office. Names include head of the coverage practice Robin Cohen (praised as ‘strategic’, ‘very impressive’ and ‘surgical in her approach’), and Randy Paar, who is leading a team representing the Port Authority of New York & New Jersey in coverage litigation relating to the World Trade Center bombing. The firm is also representing General Electric and GE Healthcare in obtaining coverage from current and legacy insurers, in relation to the highly publicized Omniscan claims. Kenneth Frenchman is lead counsel for GE in this matter, and is also very active in bankruptcy related cases involving the reduction of asbestos liabilities for other policyholders. Adam Ziffer is noted as ‘one to watch’. Robert Shulman also joined the firm, in September 2010.

With offices throughout the US, including New York, Washington DC and San Francisco, Latham & Watkins LLP has a strong presence in the insurance industry, particularly representing corporate policyholders. The firm is acting for longstanding client Montrose Chemical Corporation of California in a multimillion-dollar coverage action against Century Indemnity, arising from Century’s refusal to provide independent counsel in the defense of toxic tort claims; and also in a separate coverage action against Century, relating to the latter’s withdrawal from the defense of a CERCLA lawsuit. The firm is also representing industrial automation solutions company Rockwell Automation, and automotive supplier ArvinMeritor, in pursuing coverage pertaining to asbestos bodily injury claims, and in the same matter, defending a declaratory relief action filed by Lloyd’s of London, which involves five other insurers. Key player Andrew Lundberg co-chairs the firm’s insurance coverage practice along with recently appointed Brook Roberts. Mary Rose Alexander is recommended.

‘Dominant force’ Paul Zevnik and Michel Horton head the coverage practice at Morgan Lewis, which has outposts across the US from New England, New York, Philadelphia, Delaware, Florida and Texas to Illinois and California. The firm undertakes a wide variety of coverage work and has particular expertise in bankruptcy related matters, insurance captives and reoganizations. It is representing former insulation installer and distributor Thorpe Insulation in matters emanating from its bankruptcy, a result of its insurers’ refusal to recognize non-aggregated coverage for asbestos operations liabilities; a reoganization plan for Thorpe was approved and affirmed in September 2010, and the firm has structured and negotiated complex settlements with 16 of the 21 insurers for recoveries over $630m, including Swiss Re and Allianz. Other clients include Deutsche Bank, ITT Corporation, Transocean and Tyco International.

Jones Day provides ‘excellent service in all phases’ of coverage matters ranging from D&O and E&O liability, business interruption and CGL to product liability, political risk and environmental liability claims, with San Francisco-based Martin Myers and Steven Sigalow co-leading the insurance liability and recovery practice. Sigalow is leading the team in its representation of Southern Company in its pursuit of coverage for a $202m settlement with Mirant Corporation, involving a number of D&O carriers including ACE, XL and Energy Insurance Mutual (EIM); the matter is expected to move to arbitration, involving multiple proceedings across three jurisdictions. The firm also represented Huntsman, the global manufacturer and marketer of chemicals, in its coverage dispute arising out of property damage claims and business interruption losses accruing from a fire in 2006 at a petrochemical plant in Texas; Huntsman successfully recovered $475m from over 20 reinsurance companies. Jack Montgomery is ‘highly respected’ and ‘unfailingly polite and easy to work with’. The team was strengthened through the arrival of David Steuber and Tyrone Childress in Los Angeles, formerly at Howrey LLP.

With the departure of former practice chair John Heintz in 2010, Kelley Drye & Warren LLP now has Richard Milone heading a ten-fee-earner insurance coverage practice. Milone has twenty years of experience in this field, with particular expertise in policyholder representation in intellectual property, false advertising, trademark and patent infringement matters. It is representing Welch Foods in two lawsuits pending in the US District Court for the Central District of California, seeking coverage for defense costs arising from the underlying false advertising claims in POM Wonderful v Welch, and also costs to fund a potential settlement. The firm is increasingly focusing on niche areas of expertise, such as representation of entertainers in tour cancellation matters, drawing on the strengths of Robert Steiner. Representative clients include AOL, Lyondell Chemical Company, Millennium Successor Trust and Polo Ralph Lauren.

Kilpatrick Townsend & Stockton’s insurance recovery practice comprises 20 fee-earners, operating out of the firm’s offices in Atlanta, Augusta, Raleigh, New York, Winston-Salem and Washington DC. Julie Lierly is noted as ‘excellent at simplifying complex issues and advising on coverage strategies’. Barry Fleishman is leading the firm’s representation of Archston Smith Operating Trust in a coverage dispute (with cases pending in state court in New York and Colorado) relating to losses of more than $50m, involving property, general liability and pollution liability. On the D&O side, recent work includes acting for Beazer Homes in seeking multimillion-dollar coverage (under a third-layer-excess D&O policy) in defense costs and actual and potential liabilities accruing from securities litigation, where the parties reached an agreement through mediation. Additions made to the team during 2010 included Jeffrey Lenser and Helen Michael.