When young children don’t get their way they have temper tantrums.
When trial lawyers don’t get their way they commission cheeky, editorial cartoons.
That about distills what Mississippi, super-trial lawyer Dickie Scruggs did after Mississippi’s Democrat State Insurance Commissioner George Dale reached an out-of-court agreement on previously denied claims.
Courtesy of Legal Newsline.com, here’s why Scruggs is so upset with George Dale:
After a settlement Scruggs helped negotiate with State Farm in Attorney General Jim Hood's lawsuit against five insurance companies over an alleged lack of coverage following Hurricane Katrina was denied by federal judge L.T. Senter, Dale and State Farm reached an agreement to reopen previously denied claims.
More…
A report from The Associated Press said Scruggs stood to make another $20 million if the second part of that settlement had been approved. It grouped together 35,000 policyholders who had not sued yet but still could. Senter rejected that settlement, which had no cap and was estimated to be worth approximately $500 million, for several reasons.
After all that, Dale and State Farm made an effort to resolve things outside of a courtroom. Scruggs is concerned with the oversight, or lack thereof, in that process.
So, Scruggs is likely upset because he lost an additional $20 million from the 2nd part of the settlement tossed out by Judge Senter – and probably wishes that Commissioner Dale was more like the Democrat Attorney General Jim Hood, then he’d stand to get more money.
Scruggs said keeping Dale from being re-elected to his eighth term is a priority.
“It would have been easier for him if he had an ally like Attorney General Hood as the insurance commissioner,” said Rossmiller, whose blog can be found here.
“Scruggs has said the lawsuits are political and public relations events as much as litigation, so he seeks to get everyone to go along with his purposes.
“Dale has a more traditional view of the office, which doesn't involve grandstanding against insurance companies. This is the old debate about whether the regulators get 'captured' by those they regulate.”
Cost somebody $20 million – be prepared to face the consequences. The most skilled make-up artists couldn’t cover up that this really wasn’t about meritorious claims – but money in the pocket for Scruggs.