14 fslc spring newsletter noreg.authcheckdam€¦ · Frank John Tanzola International Fidelity Insurance Co 1 Newark Ctr, Fl 20 Newark, NJ 07102-5219 ... Ivette Gualdron Zurich 236

Spring 2014

CommitteeNewsCommitteeNews

I. Introduction

THE LITIGATOR’S TOOL BOX: EMPLOYERS MUTUAL CASUALTY CO. v. VAN HAAFTEN AND THE PRECLUSIVE EFFECT OF GUILTY PLEAS IN FIDELITY CASES

IN THIS ISSUE:Continued on page 12

Fidelity & Surety Law Committee Newsletter Spring 2014

ChairDavid C Olson

Frost Brown Todd LLC301 E 4th St, Ste 3300

Cincinnati, OH 45202-4257(513) 651-6905

Fax: (513) [email protected]

Chair-ElectMike F Pipkin

Sedgwick LLP1717 Main St, Ste 5400Dallas, TX 75201-7367

(469) 227-4663Fax: (469) 227-8004

[email protected]

Last Retiring ChairKevin L Lybeck

Travelers1 Tower Sq, S202A

Hartford, CT 06183-0002(860) 277-9332


Council RepresentativeKim D HogrefeChubb & Son Inc

15 Mountainview RdWarren, NJ 07059-6795

(908) 903-3085Fax: (908) 903-3030

[email protected]

Scope LiaisonLoren D Podwill

Bullivant Houser Bailey PC888 SW 5th Ave, Ste 300Portland, OR 97204-2089

(503) 499-4620Fax: (503) 295-0915

[email protected]

Membership Vice-ChairScott Olson

SureTec Insurance Co9737 Great Hills Trl, Ste 320

Austin, TX 78759-6418(512) 314-3650


Technology Vice-ChairsJohn A McDevittLiberty Mutual Group

20 Riverside RdWeston, MA 02493-2206

(617) 243-7918Fax: (866) 547-4882

[email protected]

Mark J KroneAnderson McPharlin & Conners LLP

444 S Flower St, Fl 31Los Angeles, CA 90071-2932

(213) 688-0080Fax: (213) 622-7594

[email protected]

Jeff OlsonLiberty Mutual Group

1001 4th Ave.Seattle WA 98154-5929

(206) [email protected]

Vice-ChairsKeith A Langley

Langley Weinstein LLP901 Main St, Ste 600

Dallas, TX 75202-3706(214) 722-7162


Scott OlsonSureTec Insurance Co

9737 Great Hills Trl, Ste 320Austin, TX 78759-6418

(512) 314-3650Fax: (512) [email protected]

Thomas J VollbrechtHammagren & Meyer PA

3500 American Blvd W, Ste 450Minneapolis, MN 55431-4412


John A McDevittLiberty Mutual Group

20 Riverside RdWeston, MA 02493-2206

(617) 243-7918Fax: (866) 547-4882

[email protected]

Ty Grant ThompsonMills Paskert Divers

100 N Tampa St, Ste 3700Tampa, FL 33602-5835

(813) 229-3500Fax: (813) 229-3502

[email protected]

Hilary Reiter HoffmanChubb Group of Insurance Co

15 Mountain View RdWarren, NJ 07059-6795


Gerald Nicholas Carozza JrSelective Ins Co of Amer

40 Wantage Ave, Attention Bond ClBranchville, NJ 07890-0002

(973) 948-1823Fax: (866) 324-3786

[email protected]

Darrell LeonardZurich

70 Schmidt DrDyer, IN 46311-2171

(800) 654-5155Fax: (800) 329-6105

[email protected]

Patrick Q HusteadThe Hustead Law Firm

4643 S Ulster St, Ste 1250Denver, CO 80237-4307

(303) 721-5000 Fax: (303) [email protected]

Robert J BerensLewis Brisbois Bisgaard & Smith LLP

2929 N Central Ave, Ste 1700Phoenix, AZ 85012-2761


Ramir Hernandez560 Bonita Ave

Las Vegas, NV 89104-2869(818) 606-6791

[email protected]

Martha L PerkinsNational Association of Surety Bond

Producers1140 19th St NW, Ste 800

Washington, DC 20036-6607(202) 686-3700


Marc Lee DomresKrebs Farley & Pelleteri PLLC

400 Poydras St, Ste 2500New Orleans, LA 70130-3224

(504) 299-3570Fax: (504) 299-3582

[email protected]

Ashley L BelleauMontgomery Barnett LLP

1100 Poydras St, Ste 3300New Orleans, LA 70163-3300

(504) 585-7932Fax: (504) 200-8932

[email protected]

Brett Devereux DiversMills Paskert Divers

100 N Tampa St, Ste 3700Tampa, FL 33602-5835

(813) 229-3500Fax: (813) 229-3502

[email protected]

Bruce Charles KingCarlton Fields PA

100 SE 2nd St, Ste 4200Miami, FL 33131-2113

(305) 539-7244Fax: (305) 530-0055

[email protected]

Bruce L CorriveauTravelers

111 Schilling RdHunt Valley, MD 21031-1110


Carol Z SmithGilliland & Hayes LLC

8717 W 110th St, Ste 630Overland Park, KS 66210-2126


Chad SchexnayderJennings Haug & Cunningham LLP

2800 N Central Ave, Ste 1800Phoenix, AZ 85004-1049

(602) 234-7830Fax: (602) 277-5595

[email protected]

Courtney Turnage WalkerZurich Surety

4539 Laurelwood DrMemphis, TN 38117-3507


David A PinesLaw Office of David A Pines

2060-D E Avenida De Los Arboles, Ste 343

Thousand Oaks, CA 91362-1376(805) 492-9931


Deborah C DuvinABA Insurance Services Inc

5910 Landerbrook Dr, Ste 100Mayfield Heights, OH 44124-6534


Dee M StudlerSDC CPAs LLC

1444 N Farnsworth Ave, Ste 500Aurora, IL 60505-1644

(630) 820-5770Fax: (630) 820-5765

[email protected]

Dennis J BartlettBrosseau Bartlett Seserman LLC

6455 S Yosemite St, Ste 750Greenwood Village,

CO 80111-5153(303) 812-1200


Edward J Reilly III20 Overhill Rd

Summit, NJ 07901-4127(212) 441-2575

[email protected]

Frank John TanzolaInternational Fidelity Insurance Co

1 Newark Ctr, Fl 20Newark, NJ 07102-5219

(973) 624-7200Fax: (973) 623-8006

[email protected]

Frank M LanakHCC Surety Group

601 S Figueroa St, Ste 1600Los Angeles, CA 90017-5721

(310) 242-4417Fax: (310) 649-0891

[email protected]

Gary J ValerianoAnderson McPharlin & Conners LLP

444 S Flower St, Fl 31Los Angeles, CA 90071-2932

(213) 688-0080Fax: (213) 622-7594

[email protected]


Grace Winkler CranleyLeo & Weber PC

1 N La Salle St, Ste 3600Chicago, IL 60602-4015

(312) 857-0910Fax: (312) 857-1240

[email protected]

Ivette GualdronZurich

236 Rue Landry RdSaint Rose, LA 70087-3666

(504) 471-2676Fax: (504) 712-3507

[email protected]

James P DiwikSedgwick LLP

333 Bush St, Fl 30San Francisco, CA 94104-2834

(415) 781-7900Fax: (415) 781-2635

[email protected]

Jay M MannJennings Strouss & Salmon PLC

1 E Washington St, Ste 1900Phoenix, AZ 85004-2554


John Edward SebastianWatt Tieder Hoffar & Fitzgerald LLP

10 S Wacker Dr, Ste 2935Chicago, IL 60606-7411


Joseph S SzaryChubb & Son Inc



Lee M BrewerAlber Crafton PSC

501 W Schrock Rd, Ste 104Westerville, OH 43081-7018

(614) 890-5632Fax: (614) 890-5638

[email protected]

Thomas MosesCNA

333 S Wabash Ave, Ste 300Chicago, IL 60604-4153


Tracey SantorTravelers

1 Tower Sq, # 2Sh02Hartford, CT 06183-0002

(860) 277-5725Fax: (860) 277-5722

[email protected]

Bogda M B ClarkeThe Hanover Insurance Group

400 Atrium Dr, Fl 5NSomerset, NJ 08873-4170

(732) 805-2378Fax: (732) 805-2395

[email protected]

Frederick Francis RettigState Farm Fire Insurance

1 State Farm Plz, Pcu-Fidelity and Surety Bonds D-1

Bloomington, IL 61710-0001(309) 766-4937

[email protected]

Douglas James WillsChubb & Son Inc



Henry Raymond MinissaleACE USA

436 Walnut St, WA10Philadelphia, PA 19106-3703


Ira E Sussman550 Sheridan Rd

Highland Park, IL 60035-5063(312) 360-1566

[email protected]

W Glenn Speicher JrZurich

3787 Sells Mill RdTaneytown, MD 21787-2545


Virginia BoyleLiberty Mutual Group

450 Plymouth Rd, Ste 400Plymouth Meeting, PA 19462-1644

(610) 832-8246Fax: (610) 828-4684

[email protected]

Lisa A BlockCNA

1249 S River Rd, Ste 200Cranbury, NJ 08512-3633

(609) 860-2342 Fax: (609) 495-8898

Louis A ModugnoMcElroy Deutsch et al

1300 Mount Kemble AveMorristown, NJ 07960-8009


Marchelle M HoustonTravelers

1 Tower Sq, Ste 2S2Hartford, CT 06183-0002

(860) 277-2408Fax: (860) 277-1976

[email protected]

Mary Alice McNamaraTravelers

111 Schilling RdHunt Valley, MD 21031-1110

(443) 353-2130Fax: (443) 353-1137

[email protected]

Matthew M HorowitzWolf Horowitz & Etlinger LLC

99 Pratt St, Ste 401Hartford, CT 06103-1623

(860) 724-6667Fax: (860) 293-1979

[email protected]

Michael John HurleyBerkley Surety Group LLC

412 Mount Kemble Ave, Ste 310NMorristown, NJ 07960-6669

(973) 775-5040Fax: (973) 775-5204

[email protected]

Mike HenniganCincinnati Insurance Company

6200 S Gilmore RdFairfield, OH 45014-5100

(513) 870-2736Fax: (513) 603-5099

[email protected]

Richard Edward TowleChubb Group of Insurance Co



Robert C NiesleyWatt Tieder Hoffar & Fitzgerald LLP

2040 Main St, Ste 300Irvine, CA 92614-7291


Robert O’BrienLiberty Mutual Group

9450 Seward RdFairfield, OH 45014-5412

(513) 867-3718Fax: (866) 442-4060

[email protected]

Susan L KarlanICW Group - OPRS

11455 El Camino RealSan Diego, CA 92130-2088

(860) 236-7468Fax: (858) 350-2640

[email protected]

Vincent C MiseoArgo Surety

211 Washington Corner RdBernardsville, NJ 07924-1216


Wayne D LambertCashin Spinelli & Ferretti LLC

304A Main StFarmington, CT 06032-0000


Wayne R WaltonChubb Group of Insurance Co



Stephen Michael RaeLiberty Mutual Group

450 Plymouth Rd, Ste 400Plymouth Meeting, PA 19462-1644

(610) 832-8254Fax: (610) 940-9112

[email protected]

Newsletter Editors-in-Chief

Thomas J VollbrechtHammagren & Meyer PA

3500 American Blvd W, Ste 450Minneapolis, MN 55431-4412


Todd R BragginsErnstrom & Dreste LLP

180 Canal View Blvd, Ste 600Rochester, NY 14623-2849

(585) 473-3100Fax: (585) 473-3113

[email protected]

Omar J HarbAlber Crafton, PSC

2301 West Big Beaver Road, Suite 300

Troy, MI 48084(248) 282-8111

Fax: (248) 822-6191 [email protected]

NewsletterExecutive EditorAdam P FriedmanWolff & Samson PC140 Broadway, Fl 46

New York, NY 10005-1100(973) 530-2229



LETTER FROM THE CHAIR


Hypertext citation linking was created by application of West BriefTools software. BriefTools, a citation-checking and file-retrieving soft-ware, is an integral part of the Westlaw Drafting Assistant platform. West, a Thomson Reuters business is a Premier Section Sponsor of the ABA Tort Trial & Insurance Practice Section, and this software usage is implemented in connection with the Section’s spon sorship and mar-keting agreements with West. Neither the ABA nor ABA Sections endorse non-ABA products or services. Check if you have access to West BriefTools software by contacting your Westlaw representative.

©2014 American Bar Association, Tort Trial & Insurance Practice Section, 321 North Clark Street, Chicago, Illinois 60654; (312) 988-5607. All rights reserved.

The opinions herein are the authors’ and do not necessarily represent the views or policies of the ABA, TIPS or the Fidelity and Surety Law Committee. Articles should not be reproduced without written permission from the Copyrights & Contracts office ([email protected]).

Editorial Policy: This Newsletter publishes information of interest to members of the Fidelity and Surety Law Committee of the Tort Trial & Insurance Practice Section of the American Bar Association — including reports, personal opinions, practice news, developing law and practice tips by the membership, as well as contributions of interest by nonmembers. Neither the ABA, the Section, the Committee, nor the Editors endorse the content or accuracy of any specific legal, personal, or other opinion, proposal or authority.

Copies may be requested by contacting the ABA at the address and telephone number listed above.


UNANTICIPATED EXPOSURES ON LICENSE AND PERMIT BONDS MAY GIVE SURETIES CAUSE FOR CONCERN

Continued on page 17


I. Background Facts

DOES A STATE IMPERMISSIBLY ACT AS A SURETY WHEN IT GUARANTEES SUBCONTRACTOR PAYMENTS ON STATE-OWNED PROJECTS? THE IOWA SUPREME COURT SAYS “NO”



Competing Interests in the Principal’s Equipment and Facilities

PRACTICE POINTER:EQUIPMENT AND FACILITIES UTILIZATION UNDER THE INDEMNITY AGREEMENT



FALSE REPRESENTATIONS IN PAYMENT APPLICATIONS: FRAUD OR MERELY A BREACH OF CONTRACT?



VISIT US ON THE WEB AT:

www.ambar.org/tipsfslc


II. Overview of Van Haaften

III. The Restatement’s Approach

THE LITIGATOR’S TOOL BOX:...Continued from page 1



IV. Issue Preclusion Across the States

1. Jurisdictions Allowing Offensive Issue Preclusion from Guilty Plea, or Recognizing Potential Preclusive Effect, Under The Restatement.


2. Jurisdictions Acknowledging the Restatement but Not Allowing Issue Preclusion Under Certain Circumstances.


3. Jurisdictions That Still Require Mutuality of Parties.

V. Conclusion




UNANTICIPATED EXPOSURES...Continued from page 6


II. The Constitutional Issue

DOES A STATE IMPERMISSIBLY...Continued from page 7


III. The National Import of the Decision




Underwriting and Pre-Default

Default

PRACTICE POINTER...Continued from page 8


Conclusion


May 2014 7-9 Fidelity & Surety Committee Spring Meeting The Brown Hotel Contact: Donald Quarles – 312/988-5708 Louisville, KY

14-18 TIPS Section Spring Leadership Meeting Boca Raton Resort & Club Contact: Felisha A. Stewart – 312/988-5672 Boca Raton, FL Speaker Contact: Donald Quarles – 312/988-5708

August 20147-12 ABA Annual Meeting Sheraton Hotel Contact: Felisha A. Stewart – 312/988-5672 Boston, MA Speaker Contact: Donald Quarles – 312/988-5708

October 201415-19 TIPS Section Fall Leadership Meeting The Meritage Resort and Contact: Felisha A. Stewart – 312/988-5672 Spa in Napa Valley Speaker Contact: Donald Quarles – 312/988-5708 Napa, CA

23-24 2014 Aviation Litigation Program Ritz Carlton Hotel Contact: Donald Quarles – 312/988-5708 Washington, DC

November 20145-7 FSLC & FLA Fall Meeting Ritz Carlton Hotel Contact: Donald Quarles – 312/988-5708 Philadelphia, PA

January 201521-23 Fidelity & Surety Committee Midwinter Meeting Waldorf Astoria Contact: Felisha Stewart – 312/988-5672 Hotel New York, NY

February 20154-10 ABA Midyear Meeting Hilton of the Americas Contact: Felisha Stewart – 312/988-5672 Houston, TX

Documents

14 fslc spring newsletter noreg.authcheckdam€¦ · Frank John Tanzola International Fidelity Insurance Co 1 Newark Ctr, Fl 20 Newark, NJ 07102-5219 ... Ivette Gualdron Zurich 236