Law Firm News

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Law Firm News

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Quarles & Brady

Attorney John Daniels Joins Clark Atlanta University Board Of Trustees
Quarles & Brady LLP today announced that partner John W. Daniels Jr. has joined the board of trustees of Clark Atlanta University, in Atlanta.

"We are extremely pleased that John Daniels has joined our board," said Juanita Baranco, chairman of Clark Atlanta University. "His wealth of business and civic experience and commitment to youngsters represents the tradition that is part of this university. We know that he will bring those valuable skills to assist this wonderful university."

08-02-2007

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Jaffe Raitt Heuer & Weiss, P.C.

Jaffe Raitt Heuer & Weiss Attorney Awarded American Bankruptcy Law Journal Award
Paul Hage, an associate with Southfield-based Jaffe Raitt Heuer & Weiss, P.C. has been awarded the prestigious American Bankruptcy Law Journal Award from St. John's University School of Law.

The American Bankruptcy Law Journal Award is a nationally recognized honor bestowed on behalf of the American Bankruptcy Law Journal. The award recognizes the student with the highest grade point average in his or her bankruptcy coursework.

Mr. Hage is a member of the Firm's Insolvency and Reorganization Practice Group. He received his undergraduate degree from Michigan State University in 2003 and is a 2006 graduate of the Loyola University Chicago School of Law. He earned his LL.M. in Bankruptcy from St. John's University School of Law in New York in June of this year.

08-02-2007

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Perkins Coie LLP

Perkins Coie Names Alexander (Sandy) Mackie Olympia Office Managing Partner
Perkins Coie announced that its Executive Committee has appointed Alexander (Sandy) Mackie as managing partner of its Olympia office. Mackie replaces Tom McDonald who recently left the firm.

Mackie has been with the firm for six years, often dividing his time between the Seattle and Olympia offices. He focuses his practice on land use regulation and real estate development, including growth management compliance, planning, development regulations and changes, land acquisition and due diligence, project planning, and permit hearings and appeals.

"Sandy is an influential leader within the firm," said Robert Giles, firmwide managing partner. "His leadership will guide the continued operation of the office, particularly in the areas of environmental, land use and natural resources issues."
"Environmental, land use and natural resources matters continue to be important to our clients' businesses," said Mackie. "We will continue to focus on these areas and provide clients with the exceptional legal service they have come to expect from our office and from the firm."

08-02-2007

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Balch & Bingham LLP

SCLC Realizes Dream: New Debt-Free Headquarters
Twenty months ago, Georgia Power President Michael Garrett and Southern Christian Leadership Conference President Charles Steele had a common goal: to build a new headquarters for the civil rights organization. And the building needed to open debt-free.

Then a year ago, both Garrett and Steele dreamed of being able to have the ribbon-cutting of the new headquarters building while the SCLC was celebrating its 50th anniversary at its national convention in Atlanta.

Amazingly, all those goals are being realized.

The SCLC will kick off its five-day national convention Friday, and the ribbon-cutting will be Monday afternoon at the new headquarters on Auburn Avenue.

But these past 20 months haven't been easy. For starters, the building ended up costing significantly more than the original projection of $2 million.

"We ran into a number of things," Garrett said. "One was the price of materials after Katrina. They doubled and tripled. And we ran into a few sewer issues that didn't show up in the beginning."

So the final cost of the headquarters, including furnishings, turned out to be $3.3 million. Still, Garrett said, the building will open without a mortgage "as far as we know."

The reason isGarrett pledged to chair the capital campaign for the new headquarters by appealing to corporate and philanthropic donors.

The campaign also was able to receive city support through the Tax Allocation District in the area. Plus, H.J. Russell & Co. agreed to construct the building at cost rather than charge its normal rates. The SCLC also will lease some space in the building, which will give it annual operating revenue.

The list of contributors also illustrates how influential Garrett has been with fund-raising. The two major law firms that work for Georgia Power and its parent, Southern Co. — Troutman Sanders and Balch & Bingham — are contributors. And Drummond Co., a coal company that does business with the utility, also is on the list.

The other contributors are, for the most part, companies that usually invest in Atlanta: AGL Resources, AT&T, BellSouth, Coca-Cola, Cousins Properties, Delta Air Lines, Georgia-Pacific, Home Depot, IBM, Siemens, SunTrust Bank and Wachovia Bank.

Among the individuals donating was David Allen, chairman of the Georgia Chamber of Commerce, and Kenneth and Judy Walters, community supporters in Tuscaloosa, Ala., where Steele is from.

The SCLC will move from its temporary offices in Midtown to the new building by early September.

As for the convention, it is attracting leaders from around the county, including former President Bill Clinton, the Revs. Jesse Jackson and Al Sharpton, and comedian Dick Gregory.

Sen. Barack Obama (D-Ill.), a leading presidential candidate for his party, also has just confirmed that he will be attending the convention Saturday evening.

His top opponent, Sen. Hillary Clinton (D-N.Y.), is trying to rearrange her schedule so she'll be able to come.

For Steele, unveiling the new headquarters during the 50th year also is symbolic, especially since three to four years ago, the SCLC's leadership was in turmoil and the organization was in danger of going bankrupt.

"We almost didn't make it; we almost went out of business," Steele said. "This is significant because it conveys the message that SCLC is going to be around for years to come."

But Steele credits Garrett for that feat. "It would have been impossible to have accomplished this without Mr. Garrett's commitment and great leadership."

08-02-2007

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Dykema Gossett PLLC

Dykema Successfully Defends Ann Arbor Public Schools
Dykema, a premier Midwest-based law firm, today announced that it has successfully defended Ann Arbor Public Schools in a case involving same-sex domestic partner health benefits for district employees.

In the case, a group of taxpayers brought suit against the school district alleging that its policy of providing same-sex domestic partner health benefits to district employees was against the law. Plaintiffs filed suit under an obscure statute, MCL 129.61, which allows taxpayers in a township or school district to bring suit to recover funds illegally expended, provided that the plaintiffs make a demand prior to bringing suit. The case was dismissed by the Circuit Court, which was affirmed by the Court of Appeals on the grounds that the plaintiffs' "demand" did not comply with the admittedly vague requirements of the statute.

The Michigan Supreme Court ultimately affirmed this decision. Although the Court disagreed with the lower courts, and found that the plaintiffs had indeed complied with the pre-suit demand requirements, the Court found the statute under which the suit had been brought was itself unconstitutional, as it conferred standing on taxpayers who would not otherwise meet the traditional requirements for standing.

"The Court’s ruling in this case is one of two recent definitive rulings which hold that taxpayer status is insufficient for standing purposes," said Jim Cameron, member in the firm’s Litigation Department and member of the Dykema team that handled the case. "We are pleased with the Court’s decision and proud to have represented Ann Arbor Public Schools during all phases of this matter."

In addition to Cameron, the case was handled by Seth Lloyd and Jill Wheaton, with assistance by Cara Heflin.

08-02-2007

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Wiley, Rein & Fielding, L.L.P.

Governor Spitzer Vetoes Controversial New York Insurance Legislation
New York Governor Eliot Spitzer has vetoed legislation that would have imposed a “material prejudice” standard on insurers seeking to deny coverage based on late notice and would have given claimants a right to bring a direct action against insurers in New York. On behalf of the Complex Insurance Claims Litigation Association, Wiley Rein LLP attorney Laura A. Foggan had noted that these proposals represented a dramatic change in New York insurance law and urged that the legislation be vetoed.

The legislation contained two key components. First, it created a “material prejudice” standard with regard to late notice, stating that an insurer “shall not deny coverage for a claim based on the failure of an insured to give timely notice of claim unless . . . able to demonstrate that it has suffered material prejudice as a result of the delayed notice.” The governor noted that “there are some drafting issues with these provisions, particularly with respect to the burden of proof that must be met.” Although vetoing the legislation as currently drafted, the governor stated, “if this bill merely permitted late notices of claim where there is no prejudice to the insurer, I would sign it.”

Second, the legislation modified New York’s declaratory judgment statute to permit “a party who has interposed a claim against” a policyholder to bring a declaratory judgment action to determine the rights of the policyholder under the relevant insurance policy. In a memorandum explaining his veto, Governor Spitzer noted concerns that this provision would increase litigation and concluded that these concerns should be reviewed. He directed his staff and the Superintendent of Insurance to meet with the legislature and interested parties to further consider these issues.

New York Senator DeFrancisco has stated that he intends to reintroduce the legislation in 2008. Although he vetoed the current legislation, Governor Spitzer’s memorandum stated: “this bill’s dual goals – streamlining litigation and prohibiting the denial of coverage for mere technicalities – are sound, and hopefully we can enact a new bill that accomplishes these important goals in a manner that protects the interests of claimants, policyholders and insurers alike.” Accordingly, further legislative activity on both the scope of the late notice defense and claimants’ rights against insurers is likely in next year’s legislative session.

Laura A. Foggan, a senior partner in Wiley Rein’s Insurance Practice, represented the Complex Insurance Claims Litigation Association in connection with these legislative developments.

08-02-2007

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Wiley, Rein & Fielding, L.L.P.

Court Upholds Flood Exclusions In Katrina Canal Breaches Litigation, Adopting Arguments Wiley Rein Advanced for Insurer Trade Groups
The United States Court of Appeals for the 5th Circuit today upheld the application of widely-used flood exclusions in homeowners and commercial insurance policies in In Re: Katrina Canal Breaches Litigation, No. 07-30119 (5th Cir. August 2, 2007).

The plaintiffs’ had contended that the policies’ flood exclusions did not unambiguously exclude coverage for losses from the inundation of water in New Orleans because the levee breaches releasing the water allegedly were caused by the negligent design, construction or maintenance of the levees. Adopting several arguments advanced by Wiley Rein LLP on behalf of the American Insurance Association, the National Association of Mutual Insurance Companies, the Property Casualty Insurers Association of America and the Reinsurance Association of America as amici curiae in this case, the Court found that the flood exclusions were unambiguous and, whether or not negligent design, construction or maintenance of the levees contributed to their failure in the wake of Hurricane Katrina, the water inundation of New Orleans fit squarely within the meaning of “flood.” Slip op. at 31.

In particular, the Court rejected the plaintiffs’ attempt to carve out of the policies’ flood exclusions water inundation from man-made causes of loss, at least in the context of the levee breaks at issue. The Court noted that the plaintiffs’ approach “would lead to absurd results,” recognizing that “[a]ny time a flooded watercourse encounters a man-made levee, a non-natural component is injected into the flood, but that does not cause the floodwaters to cease being floodwaters.”

On behalf of the amici, Wiley Rein had specifically criticized the “natural versus man-made” distinction in the context of flood control measures, arguing:

Indeed, in almost any setting involving flood mitigation efforts – which are increasingly used and required throughout the U.S. – the lower court’s reasoning fails. If building code measures prove inadequate to protect a home against flood, would a homeowner’s water damage loss be considered covered due to man-made error? The attempt to narrow what is excluded as flood produces absurd results inconsistent with the policy terms and intent.

Brief of Amici Curiae American Insurance Association, the National Association of Mutual Insurance Companies, the Property Casualty Insurers Association of America and the Reinsurance Association of America at 5.

The decision today of the three-judge panel of the United States Court of Appeals for the 5th Circuit means that under commonly-used terms of homeowners and commercial insurance policies there is no coverage for water damage resulting from the failure of the levees surrounding New Orleans after Hurricane Katrina.

Wiley Rein LLP attorneys Laura A. Foggan and Benjamin Theisman represented the insurer trade groups as amici in this appeal.

08-02-2007

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