News & Events

On April 30, 2015, the New York Supreme Court, Appellate Division, unanimously reversed the trial court and ordered dismissal of Huron Consulting’s claim for insurance coverage from Firm clients, the Beazley syndicates at Lloyd’s London.  

Huron was sued by a whistleblower claiming Huron violated the United States and New York False Claims Acts by allegedly engaging in a $50 million healthcare fraud in connection with the administration of the now-defunct St. Vincent’s Hospital in Manhattan.  Huron sought insurance coverage for that lawsuit from Beazley.  In the ensuing declaratory judgment action, the trial court ordered Beazley to pay Huron’s defense costs in the underlying action.  Appearing in the matter for the first time on appeal, the Simpson Thacher team convinced the Appellate Division to reverse the trial court and declare that Beazley has no coverage obligation on the grounds that a policy exclusion barring coverage for government actions applies even though the case against Huron was brought by a whistleblower rather than the government itself.  

The Simpson Thacher team included Bryce L. Friedman, who argued the appeal, Jonathan Nussbaum and JoAnne Jennings.