A New York Federal court dismissed a lawsuit brought by a bankrupt company against its law firm. The plaintiff alleged that services the firm rendered were incorrect and helped contribute to the bankruptcy. The court dismissed the claim after the plaintiff failed to produce expert testimony and evidence that this was an accurate allegation.
This case brings to light the benefit of carrying insurance. Even though this was a groundless claim, an errors and omissions insurance policy would provide defense and help a firm navigate the legal waters surrounding a lawsuit. InsureTitleAgents.com reminds all clients to quickly report claims and to purchase a policy that provides broad coverage. Contact us today to learn how to better protect your firm.