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FMG Law Blog Line

Archive for October, 2009

FMLA Protections Expanded For Military Families.

Posted on: October 30th, 2009

On October 28, 2009, President Obama signed into law the National Defense Authorization Act of 2010.  Section 565 of the Act amends the Family Medical Leave Act (“FMLA”) by expanding the provisions enacted in 2008 for family members of military personnel.  At the beginning of 2008, Congress created two kinds of leave for family members of military personnel: “exigency leave” and “military caregiver leave.”  The new law not only expands the number of employees qualifying for leave, but also expands the circumstances under which employees may take leave.  (more…)

Insurers Beware: Extra-Contractual Liability Lurks In Policy Limits Demands

Posted on: October 23rd, 2009

By:  Phil Savrin and Darl Champion

The Georgia Supreme Court has issued an important decision on an insurer’s exposure to extra-contractual damages when rejecting a settlement demand within policy limits.  In Fortner v. Grange Mut. Ins. Co., Case No. 209G0492, 2009 WL 3334632 (Ga. Oct. 19, 2009), the insured was sued for injuries received in a car accident.  The insured had two liability policies:  one with Grange Mutual Casualty Company that had a $50,000 liability limit, and annother with Auto Owners Insurance Company that had a $1 million limit.  The plaintiff made a limits demand to Grange Mutual contingent on Auto Owners paying $750,000.  Grange Mutual agreed to pay its $50,000 limit, but only if plaintiff dismissed the claims against the insured.  The plaintiff regarded Grange Mutual’s offer as a rejection of the demand and proceeded to trial, where he obtained a $7 million judgment against the insured. (more…)