Sanctions Order Illustrates Misconduct of Policyholder Attorneys in Hail Cases
We’ve posted before about the attorney misconduct the recent hail reform bills aimed to curb. A recent sanctions order by United States District Judge Alia Moses illustrates how these practices can harm the judicial system and the policyholders these attorneys represent. This story in the Southeast Texas Record has a good overview, but we highly recommend reading the sanctions order itself. It was filed in the U.S. District Court for the Western District of Texas, case No. 2:15-cv-00092-AM-CW. In the order, Judge Moses outlines how the policyholder lawyers:
– Failed to disclose two settlement offers made by the carrier;
– Filed a claim with the carrier on behalf of the plaintiffs without consulting them; and
– Served the carrier with fraudulent interrogatories, which were purportedly signed and verified by the plaintiffs.
We hope that the recent legislation and orders like this one help to curb these harmful practices.