Update on Worley overtime class action case Altier vs Worley and BP- BP granted dismissal May 2011

May 11, 2011

Doing some research today, I was able to locate a May 9, 2011 court decision granting BP’s motion to be dismissed from this class action lawsuit filed by independent adjusters working BP claims through Worley adjusting firm.  Here is the link.

It is interesting to see several more independent adjuster names on the court document now as plaintiff’s…several of which I recognize from online interactions from several sites.

In another online document from a February 25, 2011 Status Conference held  involving all BP cases, they do list both Alteir vs Worley and Alteir vs Worley and BP as item number 17 on the Agenda. Here’s the link to that pdf document found online.

The website listing the status of the 368 litigation cases against Deep Water Horizen does show these two cases still open here (search alpha order for Alteir vs Worley.

While doing some online research I also came across another case in AL that includes BP and Worley as well as ESIS who BP originally assigned cases to filed with the State of AL as one of two plaintiffshere which also lists it as a RICO case as shown in this document. I will make some contacts to see if I can get more documents if they available to the public. There is a short explanation about the type of case it is in the top right corner of the pdf document. The 2nd plaintiff listed on this AL case is CMCO, LLC and here is the trademark info I found on them but no clue if this is actually the plaintiff listed on this case.

Amazingly (not) is a website which is basically an advertisement from the firm filing the class action speaking to adjusters who may have worked for Worley found here. The website for the law firm is listed on the bottom of that link along with contact information.

As far as what independent adjusters are saying,  here is a lin to a CADO forum topic where a few were discussing this case when it first hit the news.

For links to our prior posts with the original Complaint documents which explains the details of the case if you missed it, here is the link.

As we locate more documents and information we will update the information here on the blog.

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” Adjusters ” handling BP Claims file a Class Action lawsuit on two issues- Overtime pay and failure to receive 65% of daily fee per contract

February 9, 2011

Roy Cupps over at CADO posted this link in the forums there regarding a Class Action lawsuit filed by MS Attorney JP Hughes  (I could not locate a website for him but I’m working on it through network connections )on behalf of the adjusters handling the BP claims regarding two issues:

1) Overtime pay- working more than 40 hours per week and not receiving over time pay (they were on daily rate)

2) Alleged failure of adjusting firm to pay adjusters their 65% of the daily rate they were paid by the BP Fund

For complete details, here is the link:

http://www.courthousenews.com/2011/02/09/34026.htm

This is definitely a case to watch as it is standard for independent adjusters to receive a daily rate of pay for each day worked on a catastrophe or daily assignment where they agree to work for a stipulated daily rate for a given split of the daily rate. The rate these adjusters were paid is on the high end of the daily rate independents normally receive. I have no idea why this alleged adjuster would feel entitled to time and a half for hours worked over 40 hours unless the contract indicated the daily rate was for a given 40 hours which is unheard of in the claims industry for independents working on assignment.

I am very curious if this person was actually one of the actually non claim folks working on BP claims. I have actually been told by several were working in field offices that BP Csar Ken Feinburg changed adjuster job titles to “evaluators” when he took over. If that is true, do you think that the prior findings of the Fair Labor Standards commission would differ on findings on this class action?

If you missed our prior several blogs on overtime issues and adjusters, here are links to prior blogs on the topics and prior decisions on some of these cases:

https://dimechimes.wordpress.com/?s=Overtime

https://dimechimes.wordpress.com/2010/02/27/supplemental-info-on-geico-auto-adjuster-overtime-issues/

https://dimechimes.wordpress.com/2010/02/02/fenton-et-al-v-farmers-insurance-exchange-no-07-4864-dc-mn-2009-mn-staff-claims-adjuster-overtime-decision/

https://dimechimes.wordpress.com/2010/01/06/geico-wins-case-on-overtime-issues-for-auto-adjusters-view-washington-post-article/

https://dimechimes.wordpress.com/2009/02/27/adjuster-overtime-issues-supplemental-info-from-none-other-than-attorney-gloria-allreds-current-news-letter/

https://dimechimes.wordpress.com/2007/09/24/insurance-adjuster-overtime-pay-issues-and-complaints-in-the-news/

Regarding the second issue of alleged failure of  Worley Adjusting firm to pay the agreed 65% split of the daily rate, I find that very hard to believe as they have such an excellent reputation for paying adjusters fairly in the claim industry which is remarkable considering the number of adjusters who have gone unpaid by unprofessional firms since Katrina. I assume we’ll be able to view the contract when documents are filed during discovery on the case to show first of all the daily fee Worley was receiving per “adjuster” as well as the independent contract terms they were using on this assignment. I’ll keep an eye out for those to make the records in the coming months.

There were many experienced adjusters who would gladly have deployed for the given rate of pay. In addition, adjusters working out of town at BP assignments were given daily per diem while working which is unheard of for independent adjusters working for insurance carriers so those who were lucky enough to be deployed were most thankful for the assignment.

I think this case will be closely watched by all insurance carriers who use independent adjusters on daily rates. I know I will be closely following it. You can as well by subscribing to this blog to watch for updates as we post them.

If you also want to follow this discussion going on over at CADO where Roy Cupps posted this information, here is the link to that topic forum discussion there:

http://www.catadjuster.org/Forums/tabid/60/aft/11695/Default.aspx#22348


Supplemental Info on Geico Auto Adjuster Overtime Issues

February 27, 2010

It is just amazing the great information found while experimenting with Twitter this month for use in the claims industry.

One of the great finds today is a detailed article explaining the overtime issues in the case that Geico recently won by Weil Gotshal  law firm.  Their newsletter with a pdf  link to their article can be found on page 4 using this link.

We recently blogged with a link to the Washington Post articleon Geico’s win on these auto adjuster overtime issues  in this prior blog.


Fenton, et al., v. Farmers Insurance Exchange, No. 07-4864, DC MN, 2009, MN Staff Claims Adjuster Overtime Decision

February 2, 2010

Here’s some information on an over time case involving a Farmer’s case, Fenton, et al., v. Farmers Insurance Exchange, No. 07-4864, DC MN, 2009 .

It sounds like an SIU (Special Investigation Unit arson fraud adjuster) Investigator won a decision in MN on adjuster overtime pay. According to this article, it was based on the fact their supervisor made the final decision if a case was fraud or not. It seems the states are across the board based on alot of other decisions I’ve posted on this blog. This is surprising since a claim supervisor making the decision on a claim file would be applicable on all claim files that exceed an adjuster’s authority, files to be denied,  and normally any coverage issue files as well.

For information on Fenton, et al., v. Farmers Insurance Exchange, No. 07-4864, DC MN, 2009, here is a link I found on today’s email update from a great site for HR that I subscribe to at http://www.thehrspecialist.com  

Here’s the link:

http://www.thehrspecialist.com/article.aspx?articleid=30351&cigx=d.n,stid.7491,sid.374530

This link will take you to all other blogs I’ve posted that included other claims adjuster overtime cases. This does apply to staff adjusters not independent adjusters. I’m curious if the independent adjuster classifications will be questioned as well with the 2010 concentration on employee versus independent classification we’ve been reading about.

https://dimechimes.wordpress.com/?s=overtime

Doing some additional web search for a link to the court documents on the Fenton vs Farmers case, I came across this link to an entirely different court finding in Farmers favor in 07. It sure is interesting comparing this to the Fenton case:

http://www.hreonline.com/HRE/story.jsp?storyId=9595529


Geico wins case on overtime issues for auto adjusters view Washington Post article

January 6, 2010

Geico has won a case on overtime issues for staff auto adjusters according to the following article posting on the Washington post here.

We have written several other blogs here on staff adjuster overtime issues if you want to view them here.


Just a ClaimSmentor Moment #6- Update 3/09 on EA Renfroe/ Rigsby Whistleblower case-Possible Settlement

March 20, 2009

 

No time for blogging today but you won’t want to miss this blog over at Slabbed on settlement updates and court documents on the EARenfroe and Rigsby Whistleblower case. Slabbed thanks for updating this as many claims industry members are very interested in this topic. I’m hoping for EA Renfroe’s sake that this does settle. They sure did NOT deserve what the Rigby whistleblowers have put them through since Katrina. We have some old blogs here (just enter Rigsby in the search field to locate them. One of the Rigsby’s actually said in their deposition that EA Renfroe had done nothing wrong. More on that later:

http://slabbed.wordpress.com/2009/03/17/anita-lee-reports-from-team-rigsby/

 

This is an important case for adjusters to study from the stand point of Code of Conduct forms you are required to sign by carrier’s and what happens when you violate those code of conduct forms.

By all accounts I have ever heard from independent adjusters, EA Renfroe is an excellent adjusting firm to work for. I also managed their independents during my management career and found the same to be true. What a shame these whistleblowers put them through this when by their own admission their complaint was with the carrier.


Just A ClaimSmentor Moment #4- LexisNexis List of Top Law Blogs on Insurance and Claims Issues

March 12, 2009

I don’t have time for blogging today but did come across this list over at LexisNexis on top blogs for insurance. There are so many good ones I had not heard of on this list so hopefully this will link us to some great new sources of information. Clck here to view the list.

We also have our list of favorites where we find so much good information already shown in the Claim Blogs of Interest section located in the right column of this  website blog. I’ll add to my list of favorites for claims news as I get through the LexisNexis list.

Here is a video hosted by the Insurance Journal suggesting insurance companies should be blogging in this blog entry.

https://dimechimes.wordpress.com/2008/01/09/should-your-adjusting-firm-or-carrier-be-blogging/

Here is a link to other great Insurance information resources found at Lexis Nexis:

http://w3.nexis.com/sources/scripts/eslClient.pl?GSDINDUSTRY=Insurance