STORY FROM: Reinsurance & Arbitration
N.Y. Judge Dismisses Berkshire Hathaway from Applied Underwriters Case
September 6, 2019
NEW YORK — A New York judge has dismissed claims accusing Berkshire Hathaway Inc. of participating in an illegal reinsurance scheme targeting three New York employers, finding the plaintiffs failed to allege jurisdiction over the company pursuant to the state’s long-arm statute.
In an Aug. 27 order, Judge Marcy Friedman of the New York County Supreme Court said the plaintiffs presented no evidence that BHI collected workers’ compensation premiums from the policyholders or exercised control over its Applied Underwriters subsidiaries.
In the three actions, plaintiffs Breakaway Courier Corp., Current Lighting & Electric Inc. and Alternative Fuels Transportation Inc., allege defendants ...