(Insurer May Appeal Default Judgment Entered Against Insured in Small Claims Court)

(Arbitration Clause Applied to Third-Party Beneficiary Claiming Coverage Under Policy as an Additional Insured for Personal Injury Claim)

(Underlying Antitrust Lawsuit Based on Fraudulent Procurement of Patent Did Not Constitute Potential Malicious Prosecution Triggering Duty to Defend Under Personal Injury Coverage Afforded by CGL Policy)

On May 4, 2020, the Seventh Circuit joined the Ninth Circuit in ruling that a plaintiff alleging violations of the informed consent provisions of the Illinois Biometric Information Privacy Act (BIPA), 740 ILCS 14/15(b) has Article III standing to sue in federal court.

As expected, investigations into potential fraud and abuse are already underway in the award of massive stimulus funds under the CARES Act Paycheck Protection Program (PPP). On May 5, the Justice Department announced its first prosecution, charging two Rhode Island businessmen with fraudulently seeking more than a half million dollars in forgivable PPP loans.

On March 27, 2020, President Trump signed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), which established the Paycheck Protection Program (PPP). Under the PPP, the U.S. Small Business Administration can temporarily authorize and guarantee small business loans designed to incentivize small businesses to keep their workers on the payroll and help small businesses survive the pandemic.

On April 30, 2020, the New York’s Appellate Division, First Department, issued a decision in Silber v. Sullivan Properties, L.P., affirming the trial court’s denial of a plaintiff’s post-Note of Issue motion to file an Amended Bill of Particulars, which charged the defendant with violating a section of the building code that had never been previously alleged. 

On May 1, 2020, the Texas Supreme Court adopted an exception to the State’s eight-corners rule, a vital tenet of Texas insurance law that governs the determination of an insurer’s duty to defend.