Montana Law Week

The Weekly Digest of Montana Law

Sanctions, $515,119.90, “reckless,” “frivolous”

By

SANCTIONS: Fees incurred by insurer against Montana attorneys for “reckless,” “frivolous” prosecution of bad faith case stemming from suit against CPA firm for bad TIC investment affirmed… sanctions against Portland co-counsel reversed… because $515,119.90 was imposed against all 3, remanded for reassessment of appropriate amount against Montana lawyers… Lovell affirmed, reversed (unpublished). [Read more…]

Lending breach, $52,037,593 verdict, TARP

By

LENDING BREACH: Montana law improperly applied over Michigan contract provision… under Michigan law constructive fraud, prospective economic advantage, and deceit would not have been permitted to go to jury as stand-alone tort, only remaining claims are contractual in nature, do not provide basis for punitives… improper evidence of failure to use TARP money for borrower irrelevant, prejudicial, could have influenced jury… $52,037,593 verdict for start-up international office products facility based in Butte that failed when accounts were swept reversed, remanded for new trial on contract claims… punitives cap vis-à-vis $10.5 million award not addressed… Krueger affirmed, reversed. [Read more…]

$515,119.90 sanctions, insurance bad faith claims

By

SANCTIONS: $515,119.90 attorney fees incurred by insurer awarded against Plaintiff’s attorneys for reckless, frivolous conduct in prosecuting bad faith case stemming from suit against CPA firm for bad TIC investment of ranch sale proceeds… priority of original Plaintiff in $4,650,000 settlement squandered by acceptance of 5 additional clients with higher fee agreements… questionable settlement without participation by insurer… insurer set up for bad faith suit to cover up and justify wrongful distribution of monies in trust… Lovell. [Read more…]