Sunday 27 May 2012
Headlines
Did you find this story interesting? (0) (0)
08/04/2009 01:31:18
United States-A Billion dollar law case.
UNITED STATES-THE BILLION DOLLAR LAW SUIT.
Kelley Drye & Warren LLP Files $1 Billion Lawsuit on Behalf of Domestic Producers Against Insurers and U.S. Government for Damages Caused by Dumped Chinese Food Products
WASHINGTON--(BUSINESS WIRE)--Today, domestic producers of fresh garlic, crawfish tail meat, canned mushrooms and honey, represented by the law firm of Kelley Drye & Warren LLP, filed a class action lawsuit against major insurance companies to recover close to $1 billion in damages. The Washington, D.C. law firm of Adduci, Mastriani & Schaumberg, LLP is co-counsel with Kelly Drye for many domestic producers of crawfish tail meat. The complaint states that the insurers’ negligent issuance of customs surety bonds, and subsequent refusal to pay under those bonds, allowed the sale of huge amounts of competing food imports from China at below-cost, or "dumped" prices. This caused severe financial damages to the domestic producers. The lawsuit, filed in the federal Court of International Trade, also claims that the U.S. Customs and Border Protection and the Commerce Department failed to enforce the four antidumping orders issued years ago to protect the domestic producers from dumped Chinese imports.
The surety defendants include the Hartford Companies, Lincoln General, Washington International, American Home Assurance, Great American Insurance Companies and International Fidelity.
The complaint states that for eight years, the insurers negligently issued hundreds of customs surety bonds that guaranteed the payment of any dumping duties the government might determine were owed by U.S. importers for the specified Chinese goods.
"Without these customs surety bonds, the importers could not have brought in and sold the Chinese goods in the U.S. market at steeply dumped prices. The dumping of these imports forced the domestic producers to significantly lower the prices for their competing products, causing the producers to lose hundreds of millions of dollars," said Michael Coursey, a partner in Kelley Drye’s international trade practice group.
John Heintz, chair of Kelley Drye’s insurance recovery and D.C. litigation practice groups explained, "Because these importers were new, thinly capitalized, and had little or no credit history or experience in importing, the insurers knew or should have known that the importers posed an extremely high risk of defaulting on assessed dumping duties. The insurers, nevertheless for years, continuously issued the bonds on behalf of the importers, and made millions of dollars in premiums."
Now, the importers have all defaulted on paying the hundreds of millions of dollars in dumping duties the government has billed for these imports.. The insurers similarly have refused to pay the duties as required by their bonds, and Customs has failed to prosecute any collections lawsuits against the insurers. The government is legally obligated to distribute to the competing domestic producers any dumping duties ultimately paid by the importers or the insurers. Thus, the government’s failure to collect these duties from either the importers or the insurers has resulted in huge losses for the domestic producers.
This ground-breaking lawsuit holds insurance companies accountable for enabling unfair international trade practices with custom bonds, and for failing to honor the payments promised, when issuing those bonds.
Kelley Drye partners John Heintz (301) 466.3161 and Michael Coursey (202) 487.5226 are available for interviews regarding the lawsuit.
Kelley Drye & Warren LLP is a multidisciplinary law firm with five offices in the United States, an office in Brussels and an affiliate in Mumbai. It is well known for representing clients in high profile international trade and customs and insurance recovery matters. For more information, log onto http://www.kelleydrye.com.
Kelley Drye & Warren LLP Files $1 Billion Lawsuit on Behalf of Domestic Producers Against Insurers and U.S. Government for Damages Caused by Dumped Chinese Food Products
WASHINGTON--(BUSINESS WIRE)--Today, domestic producers of fresh garlic, crawfish tail meat, canned mushrooms and honey, represented by the law firm of Kelley Drye & Warren LLP, filed a class action lawsuit against major insurance companies to recover close to $1 billion in damages. The Washington, D.C. law firm of Adduci, Mastriani & Schaumberg, LLP is co-counsel with Kelly Drye for many domestic producers of crawfish tail meat. The complaint states that the insurers’ negligent issuance of customs surety bonds, and subsequent refusal to pay under those bonds, allowed the sale of huge amounts of competing food imports from China at below-cost, or "dumped" prices. This caused severe financial damages to the domestic producers. The lawsuit, filed in the federal Court of International Trade, also claims that the U.S. Customs and Border Protection and the Commerce Department failed to enforce the four antidumping orders issued years ago to protect the domestic producers from dumped Chinese imports.
The surety defendants include the Hartford Companies, Lincoln General, Washington International, American Home Assurance, Great American Insurance Companies and International Fidelity.
The complaint states that for eight years, the insurers negligently issued hundreds of customs surety bonds that guaranteed the payment of any dumping duties the government might determine were owed by U.S. importers for the specified Chinese goods.
"Without these customs surety bonds, the importers could not have brought in and sold the Chinese goods in the U.S. market at steeply dumped prices. The dumping of these imports forced the domestic producers to significantly lower the prices for their competing products, causing the producers to lose hundreds of millions of dollars," said Michael Coursey, a partner in Kelley Drye’s international trade practice group.
John Heintz, chair of Kelley Drye’s insurance recovery and D.C. litigation practice groups explained, "Because these importers were new, thinly capitalized, and had little or no credit history or experience in importing, the insurers knew or should have known that the importers posed an extremely high risk of defaulting on assessed dumping duties. The insurers, nevertheless for years, continuously issued the bonds on behalf of the importers, and made millions of dollars in premiums."
Now, the importers have all defaulted on paying the hundreds of millions of dollars in dumping duties the government has billed for these imports.. The insurers similarly have refused to pay the duties as required by their bonds, and Customs has failed to prosecute any collections lawsuits against the insurers. The government is legally obligated to distribute to the competing domestic producers any dumping duties ultimately paid by the importers or the insurers. Thus, the government’s failure to collect these duties from either the importers or the insurers has resulted in huge losses for the domestic producers.
This ground-breaking lawsuit holds insurance companies accountable for enabling unfair international trade practices with custom bonds, and for failing to honor the payments promised, when issuing those bonds.
Kelley Drye partners John Heintz (301) 466.3161 and Michael Coursey (202) 487.5226 are available for interviews regarding the lawsuit.
Kelley Drye & Warren LLP is a multidisciplinary law firm with five offices in the United States, an office in Brussels and an affiliate in Mumbai. It is well known for representing clients in high profile international trade and customs and insurance recovery matters. For more information, log onto http://www.kelleydrye.com.
No Comments
Nobody has posted any comments on this story.
|
Farming items for Sale
|
2008 - Claas - Arion 630 'CIS' - Ballyclare
(Price on Application)
(Price on Application)
New Holland 740CC - Ashby de la Zouch(GBP 12950)
John Deere 7720 - Ormskirk(GBP 48850)
Claas 836 - Chulmleigh
(Price on Application)
(Price on Application)
John Deere 6110 Turbo - Ballyclare(GBP 20160)
Related News
Canada-$10 billion BSE law case. - 19 Jan 2009CANADA. $10 BILLION LAW SUIT. The cattle producers of Ontario, have filed a class action law suit against the Canada government in relation the mad...
United States-Law case over meat re-call. - 05 Feb 2009UNITED STATES- CLAIM ON MEAT RE-CALL. A Nebraska meat processor’s claim that a Minnesota church should be held responsible for tainted me...
EU to offer 1.6 billion dollars farm aid to developing nations - 07 Jul 2008The European Union plans to offer euro1 billion (US$1.6 billion) to develop farming in poorer countries hard-hit by food shortages and soaring prices,...
Australia-Billion dollars in farm sales. - 01 Mar 2009Australia’s northern cattle industry is being transformed like never before. If everything proceeds as announced, there will be more sales to ...
Brazil-$1.3 Billion dollar loan granted. - 07 Mar 2009UNITED KINGDOM-CATTLE Markets-Oswestry, Wed, Mar 4 Remarks A shortage of fat cattle numbers today and - an overall lack of quality - produc...
Australia-3 Billion dollar wheat deal with Iraq. - 12 Mar 2009Australia-AU$3 billion whest contract with Iraq. JUST three years after wheat sales to Iraq stopped in the wake of the AWB wheat-for-weapo...
United States-Multi Million dollar cattle fraud. - 16 Feb 2009UNITED STATES-CATTLE FRAUD. North Dakota cattle buyer who drove bankers around Eastern Montana showing them cattle he falsely claimed were his was...
United States-Multi Million dollar meat claim. - 20 Mar 2009An Austin, Minn., food processor is claiming a Waterloo, Iowa, warehouse operator is to blame for damage to millions of dollars worth of meat during l...
United States-$110 Million dollar Meat Plant. - 20 Mar 2009McCreary County development officials have been working behind the scenes on a potential $110 million project to attract a beef processing plant to th...
United States-Million dollar Cattle Scam. - 20 Mar 2009The operators of a central Missouri livestock company have been ordered to pay $804,000 for their role in a cattle scam involving farmers in several m...
