Third Circuit Revives the In re Insurance Brokerage Antitrust Litigation

On August 16, the Third Circuit Court of Appeals
issued its long-awaited decision in the In re
Insurance Brokerage Antitrust Litigation, reversing
Judge Brown ’s dismissal of the case and
breathing new life into plaintiffs’ class action
antitrust conspiracy claims. While the Court’s
200-page opinion agrees with Judge Brown’s
decision to dismiss most of plaintiffs’ claims, the
Court reversed the lower court on the issue of
whether plaintiffs had adequately pled a
conspiracy between Marsh and the insurers with
whom it had entered into contingent commission
agreements. As to that claim, plaintiffs ’ allegation
that those insurers had also agreed not to
compete for each other ’s incumbent business
with Marsh were supported by sufficient factual
allegations to satisfy the requirements of
Twombly (unlike plaintiffs ’ other claims) and had
to be reinstated. Accordingly, unless an en banc
panel of the Third Circuit disturbs the Court ’s
ruling, or the defendants can persuade the
Supreme Court to review the decision (which
seems unlikely), the defendants will soon be
returning to the District of New Jersey to resume
discovery and further litigation.

Articles taken form: Martindale.com.