Verne Pedro, head of Fullerton Beck’s New Jersey office, prevailed in getting a case dismissed against his insurance agent client with a frivolous litigation letter just one week after the case was assigned to a judge in Burlington County Superior Court in New Jersey. The case involved a New Jersey-based trucking company (trucking company A), which leased trailers to another trucking company (trucking company B). Trucking company B abandoned the trailers out of state in New York. Trucking company A sued company B for damages and failing to provide additional insured coverage. Company A also sued the procuring agent for failing to pay the insurance claim – which is beyond the agent’s responsibility. Verne wrote a persuasive frivolous litigation letter setting forth why, as a matter of law, the procuring agent was not responsible for making claim payments.
This is a fast, excellent win for Fullerton Beck and its client, who would have had his agent’s license scrutinized and possibly jeopardized had the suit continued. Additionally, all too often cases are not dismissed until after full blown discovery, which can take time and money, hence it saved the agent’s E&O carrier the expense of defending an ill-filed lawsuit.