Insurers, Attys Fight Over Suit Control

Monday, June 7th, 1999 Litigation

The Montana Supreme Court has agreed to settle a dispute between property-casualty insurers and the attorneys they hire to defend policyholders about litigation management techniques, such as billing practice requirements and legal fee audits. While defense lawyers frame the debate as one of professional ethics, insurers say it has more to do with dollars and cents, and their rights to control soaring litigation costs. Attorneys that accept business from an insurer sign a contract that typically includes litigation guidelines-a set of procedures outlining, among other things, reporting formalities, compensation and what activities require prior approval.

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http://www.nationalunderwriter.com/archives/Pc_archive/1999/P06-07/23billingdl.asp

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