After 36 years at 53 Perimeter Center East, Bovis, Kyle & Burch has moved to accommodate present and future growth. The new offices are located about 1 1/4 miles north of the old office at 200 Ashford Center North, Suite 500, Atlanta, Georgia 30338-2668.
Bovis, Kyle & Burch, LLC Moves to New Office Space
Greg Veal Successfully Defends Two Financial Institution Bond Claims
Greg Veal successfully defended St. Paul Travelers against a financial institution bond claim seeking accrued interest on fraudulent promissory notes in Citizens Bank & Trust v. St. Paul Mercury (U.S.D.C., S.D. Ga. 2007). The bank sought to recover over $568,000 in "interest" carried on its books as having accrued on completely fictitious "loans" made up by a dishonest officer to cover his embezzlements. (The insurer had paid the principal amounts embezzled.) The district judge agreed with St. Paul Travelers that the cash-out-the-door loss, not the bank's bookkeeping entries, established the loss covered under the policy. The court actually awarded the insurer a refund of over $89,000 overpaid on the principal loss due to unaccounted recoveries by the insured bank. This decision helps to resolve the issue of claimed accrued interest on fraudulent rollover notes, on which only a handful of courts had ruled with mixed results.
Greg also obtained summary judgment in favor of Federal Insurance Company on claims for loan losses based on forged faxes and fraudulently obtained replacement vehicle titles in Alliance National Bank v. Federal Insurance Co. (U.S.D.C., N.D. Ga. 2008). Before motions, the insured bank was persuaded to drop its bad-faith, D&O, and certain other claims. Left for summary judgment were just two claims. The bank's loss based on loans supported only by faxed manufacturer's statements of origin bearing forged signatures was not covered because the bond required originals. Loans supported by original vehicle titles were not covered even though the borrower sold the collateral using replacement titles fraudulently induced from the state; no documents were forged. The court ruled in favor of the insurer just seven hours after submission of the summary judgment motion. This case reaffirms the scope of the financial institution bond where faxes (not originals) and fraud (but not forgery) are involved.
Atlanta Claims Association's Workers' Compensation On Demand Seminars
Greg Presmanes, the head of our Workers' Compensation department, as Chairman of the Atlanta Claims Association's Workers' Compensation Section, has developed a series of seminars to be held on demand at the member's place of business. The program has been approved by the Georgia Insurance Commission for Continuing Education Credit. Members can select one hour blocks of instruction from 16 topics, in any combination, to be taught on demand by their choice of volunteer defense attorneys who are pre-approved by the Georgia Insurance Commission. The Ethics topic is available in a one hour block, but is also available in a 3 hour block to satisfy the yearly ethics requirement for continuing education credit. Please call Greg or his assistant, Imogene Robbins, at 770 391 9100, to schedule Workers' Comp On Demand seminars.