Please join Amy Elizabeth Stewart along with the rest of the panel for this two-hour webcast on Friday, August 7^th. The course will contain an in-depth discussion of the fundamentals of M&A insurance as well as updates surrounding Insurance needs of D&Os, businesses, and selling stockholders that arise in connection with public and private mergers and acquisitions.

By Kara Altenbaumer-Price

For forty years, the Securities & Exchange Commission (SEC) has allowed defendants to settle SEC matters and pay monetary penalties and disgorgement while “neither admitting, nor denying” the truth of the allegations against them. This practice allowed the SEC to avoid overt denials of wrongdoing, while also allowing defendants avoid creating admissions that could be used against them in separate civil proceedings—or by D&O insurance carriers seeking to prove underlying facts necessary to exclude coverage under certain conduct-based exclusions.

Given the extraordinary cost of defending financial crisis claims and the unprecedented damage models implicated in many such lawsuits, the potential litigation exposure faced by an insured defendant often dwarfs the limits of even comprehensive insurance programs.  With too many claims and an unmanageable number of insureds, the practical problem is that the available insurance may be grossly insufficient to defend and resolve the pending claims against insured persons.  This raises the issu ...