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Holding a corporate officer personally liable for a tort committed by the corporation.

July 1, 2019
LM Ins. Corp. v. All-Ply Roofing Co., 2019 U.S. Dist. LEXIS 14418

The court in part dealt with the defendant’s motion for summary judgement as to a corporate officer’s liability for insurance fraud. The defendant asserted that since the court denied the plaintiff’s claim to pierce the corporate veil, only the corporation could be liable if one of its corporate officers was determined to be involved in the alleged fraudulent scheme. The court held that the corporate officer could be held personally liable for a tort committed by the corporation when the officer was “sufficiently involved in the commission of the tort” per the underlying case law and the New Jersey Insurance Fraud Prevention Act. The determination gives further support for naming corporate officers, as well as corporations, as defendants in actions who were adequately involved in the commission of fraud against the insurance carrier.

 

Case Law Alerts, 3rd Quarter, July 2019

Case Law Alerts is prepared by Marshall Dennehey Warner Coleman & Goggin to provide information on recent developments of interest to our readers. This publication is not intended to provide legal advice for a specific situation or to create an attorney-client relationship. Copyright © 2019 Marshall Dennehey Warner Coleman & Goggin, all rights reserved. This article may not be reprinted without the express written permission of our firm.

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