Business Trial Group Reaches Settlement After Six Day Trial in Federal Court
The Business Trial Group is proud to announce that it reached a confidential settlement in federal court against American General Life Insurance Company (a subsidiary of AIG).
Our clients alleged that the insurance product they purchased was misrepresented to them.
In November 2017 the Business Trial Group’s Clay Townsend, Keith Mitnik, Jessica Thorson, and Paul SanGiovanni tried a case against American General in U.S. District Court for the Middle District of Florida (Asokan et al v. American General Life Insurance Company et al, Case no 6:15-cv-2048-Orl-40-KRS, United States District Court Middle District of Florida Orlando Division).
The case arose out of an investment and life insurance product marketed by American General (AG) to our clients—five doctors and their wives and a well know actor from California, Roger Lodge.
Involved in a business dispute? Contact BTG for a free case review.
While the product was represented to have very favorable tax benefits, our clients claimed that the product in fact had negative tax consequences for them. They alleged that they were subjected to IRS notice, years of audit, late fees, penalties, and personal anguish as a result of purchasing AG’s product. They also allegedly lost the benefit of investing this money in other, more profitable vehicles.
The lawsuit included claims for breach of fiduciary duty, constructive fraud, and others, and included a potential remedy of punitive damages. The complaint was filed in 2015 and involved extensive discovery around the country, expert testimony, and hundreds of exhibits.
Despite AG fighting the case on every front and flying in their attorneys from Houston to try the case, the Business Trial Group entered into an amicable, confidential settlement agreement after six days into a ten day jury trial.
The settlement is a testament to the contingency-fee model, without which our clients could not have afforded to bring their case.
At a traditional commercial law firm, this case—regardless of the outcome—would have produced thousands of billable hours. Contingency-fee litigation from the Business Trial Group, however, involves no hourly billing. If we don’t win, our clients pay nothing. This model allows clients of any legal budget to take on big companies like AG and obtain the justice they deserve.
If you are involved in a business dispute and want to know more about the benefits of contingency-fee commercial litigation, please contact us.