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California OT Case Could Trigger More

The U.S. Supreme Court is being asked to jump into a legal fight over a demand by a group of claims adjusters for overtime pay, which led to a $90 million jury award, an insurers attorney said.

The case could trigger even more class-action lawsuits against insurers, in the opinion of Ellis J. Horvitz, founding partner of Horvitz & Levy, the Encino, Calif., law firm representing Farmers Insurance Exchange in the case.

The verdict in Bell v. Farmers Insurance Exchange came down in July after a trial in an Alameda County, Calif., court. Previously, in March, a state Court of Appeal had ruled that the trial court did not err in finding in a summary judgment motion that the 2,400 plaintiff claim representatives were not exempt from overtime pay under state labor laws.

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