Burns Bowen Bair attorneys Timothy W. Burns, Jesse J. Bair, and Brian P. Cawley recently co-authored an article for the New York Law Journal. In “Stipulations and Insurance Assignments Offer Policyholders and Claimants Relief From Bankruptcy Delays,” the attorneys discuss the strategies claimants and policyholders can use to avoid the burdensome process of litigating underlying liability in bankruptcy by coupling stipulated judgments with assignments of insurance rights.
These agreements are particularly effective in the context of diocesan bankruptcies, which can involve dozens if not hundreds of claims that are often covered under various general liability insurance policies issued by many insurers over several decades. Enabling those claimants to litigate coverage directly provides a path to break through the insurers’ efforts to delay the bankruptcy process and provides survivors of sexual abuse with a path towards a fair recovery to compensate them for the terrible injuries that they have suffered.
You can read the entire article at law.com (content is paywalled).