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Supreme Court hears arguments in insurance
Legal News Update |
2007/01/16 21:02
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| The US Supreme Court heard oral arguments Tuesday in the consolidated cases of Safeco Insurance v. Burr and GEICO General Insurance v. Edo, 06-00084 and 06-00100, cases in which plaintiffs claim the insurance companies GEICO and Safeco breached the dictates of the Fair Credit Reporting Act when they failed to notify customers that poor credit reports were the reason they had been denied favorable rate coverage. The case is on appeal from the US Ninth Circuit Court of Appeals which held in January 2006 that the requisite state of mind the plaintiffs must prove to establish a violation of the act is reckless disregard, while defendants urged the standard of knowledge would be more appropriate. Justice Samuel Alito indicated at argument that he did not favor the notification requirements urged by plaintiffs. |
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