Claims Administrator Entitled to New Trial on Punitive Damages, N.Y. Federal Judge Rules

NEW YORK — American Claims Management Inc. and its subsidiaries are entitled to a new trial on the issue of punitive damages in a dispute over claims servicing charges because the plaintiff, Starr Indemnity & Liability Co., did not present sufficient evidence of the defendants’ financial condition.

On Sept. 17, Judge Jesse M. Furman of the U.S. District Court for the Southern District of New York ruled that without such evidence, there was no way for the jury to make an intelligent assessment of the defendants’ ability to pay a punitive damages award. Nor can the court determine whether the …