Trial Over Use (or Misuse) of Gym Equipment

2010-L-6503 (Illinois, Cook County)

While at the gym, the plaintiff was using an abdominal exercise machine and fell, hitting her head on a metal bar at the bottom of the machine. She sued the gym under a premises liability theory alleging that the machine was wobbly, and sued multiple manufacturers under products liability theories making the case that the machine itself was defective. In the middle of discovery, the defense of the gym was transferred to Daniel P Costello & Associates. Attorneys Dan Costello and Jessica Biagi picked up defense of the gym and took the case to trial. Plaintiff attempted to show that the machine was wobbly and negligently installed, and demanded $1.2 million prior to trial. However, Dan and Jessica showed that there were no problems with the installation of the machine and focused on plaintiff’s use of the machine as the cause of the injury. The jury agreed that the gym was not negligent and returned a full verdict for the defense.

Elderly Plaintiff Hit by Runners at Street Festival

2014-L-9091

Plaintiff, an elderly woman, was attending a street festival in Little Italy in Chicago, when youth from a school running club ran by causing one to bump into plaintiff. Plaintiff fell, and a police officer arrived on the scene, described her injuries as serious and helped transport plaintiff to a hospital. Plaintiff then brought suit against the city and the community organization who hosted the event. Daniel P Costello & Associates took over defense of the community organization. Dan Costello knew that the community organization was not responsible for the runners as they were legally allowed into the event, and pointed to the event organizer as having the duty to the plaintiff in this situation. Attorneys Dan Costello and Donna Rizzuto prepared a motion for summary judgment, and plaintiff, realizing the community organization was not at fault, dismissed them from the case and proceeded against the other defendants.

Efficiently Handling Construction Defect Cases

Typically, when an insurance company gets dragged into a construction defect case one thing is certain; high defense costs. As home building ramps up around the country and particularly in the western states such as California, problems inevitably arise and with them come construction defect lawsuits.

Studying the metrics of construction defect cases show us that defense costs tend to be high completely regardless of whether indemnity payments are high or low. The nature of these kinds of cases leads to high defense costs due to: a multitude of parties involved, boxes of documentation to review, and excessive time spent by attorneys at site inspections, depositions, and mediations. So the million dollar question becomes: what can be done to control these costs? Fortunately there are options. From the law firm’s perspective, a clear focus early on in the case is crucial. Many of these cases tend to settle in a similar range, and when a firm can target an early settlement this can save hundreds of thousands of dollars in defense costs over the life cycle of the case. Additionally, there are many areas of opportunity in controlling costs. Many firms tend to live in the stone age and print out every document they need; resulting in thousands of dollars in printing boxes and boxes of documents.

When experts become involved the cost of these cases can skyrocket, and paying reasonable costs for experts is a huge cost saving measure.Sometimes it is on the insurance company to control and direct the firms they are paying. Pushing firms to resolve cases instead of spinning their wheels can save money in the long run. Additionally, instituting a robust review of attorney billing can prevent paying out for excessive time spent on unnecessary work. Even just instituting the program shows firms their time is being watched and encourages the firms to self-review and be conscious of the time they are spending.While construction defect cases can be very costly, insurance companies shouldn’t feel resigned to feeling like they don’t have any control over the money going out the door. Taking a vigilant and smart approach results in more efficiently handled cases that can save millions of dollars in unnecessary defense costs in the long run.

Three More Jury Trial Wins at Costello Legal

Costello Legal has just won three jury trials this winter, marking 10 wins so far for 2015 and a very successful year. Congratulations to all the attorneys and support staff who worked hard and made this possible!

2013-L-11132 (Illinois, Cook County)

The Plaintiff, a 48 year old special education coach, was involved in a low-speed rear end collision in Evanston, Illinois, and sued the car that struck him. Plaintiff insisted on taking the matter to trial, claiming $80,000 in damages including outstanding medical expenses, the need for future medical care, lost wages from the incident, and permanent injury to his lower back. Partner James Barrow, representing the defendant at trial, showed the jury that this low speed collision could not have possibly caused the damages the plaintiff claimed, which were all the result of a pre-existing medical condition and an intervening work related injury. The trial lasted 3 days and included 5 witnesses, including a treating physician, independent neurosurgeon, and a biomechanical engineer. After deliberating for 90 minutes, the jury returned a verdict in favor of the defendant.

2010-L-6503 (Illinois, Cook County)

After the Plaintiff, 39 year old health instructor, fractured her larynx while working out on a glute-ham machine, she filed suit against the gym, the manufacturer and the retailer. Prior to trial, Plaintiff settled with the manufacturer and retailer, leaving only her premises liability claim against Quad's Gym, Inc. Plaintiff requested $1.16 million at the end of a jury trial, including $130,000 in past medical bills, scarring and permanent changes to her voice. The trial lasted three and a half days and included eleven witnesses, including two laryngologists and one expert biomechanical engineer. For the defense, the team of Daniel Costello and Jessica Biagi fought zealously to deny fault and prove the defendant's affirmative defense of contributory negligence. Within 90 minutes, the jury returned a verdict of not guilty in favor of Defendant Quad's Gym, Inc.

2012-L-11088 (Illinois, Cook County)

The Plaintiff, a 53 year old nurse, fell while roller skating backwards in a roller rink, resulting in a fractured wrist that required surgery. She claims her fall was caused by an object on the ground, and filed a premise liability and negligence claim against the roller rink for failure to maintain and inspect the floor of the roller rink. The trial lasted three days and included seven witnesses. At the end of trial, Plaintiff asked for $125,000. Jessica Velez from Daniel P. Costello & Associates vigorously defended the roller rink and made it clear not only that Tinley Park Roller Rink properly supervised and maintained the roller rink, but also it was not possible the object on the floor could have caused the plaintiff's fall. After only 40 minutes of deliberation, the jury agreed and returned a complete defense verdict.

Continued Trial Success at Costello Legal!

Dan Costello preserved the streak for Costello Legal in what is turning out to be a great 2015, winning our seventh consecutive jury trial.

Yates v. Elegant Acquisition

Mr. Costello represented a local transportation company, and its 80 year driver in a case where plaintiff, a 26 year old attorney claims that she was forced off the road, and ended up striking a tree. The plaintiff claimed catastrophic injuries at trial. The plaintiff claimed nearly $100,000 in medical damages at trial for her Periacetabular osteotomy which resulted in a permanent limp, permanent hardware, and permanent restrictions.The plaintiff’s firm coming off a $15 million verdict one month earlier, asked the jury for $3.57 million dollars in total damages. Despite viewing the case as a presumed liability case against the defendant, the jury awarded 38% contributory negligence on the plaintiff, and awarded only $271,000, less than all pre-trial offers.

Dan Costello to speak at CLM's 2015 LMI Conference

The Claims and Litigation Management Alliance (CLM) will be hosting the "2015 Litigation Management Institute and Coverage Perspectives" conference from October 22-25, 2015 at Columbia Law School in New York City. Dan Costello will be speaking in the "Coverage Perspectives" course which explores the "tri-party" relationship between the insurer, the insured, and defense counsel and highlights some of the nuances of how insurance coverage can influence the handling of defense litigation.More information can be found at these links: 2015 LMI Conference"Coverage Perspectives" Course

CLM Annoucement: "Mr. Daniel Costello to Speak at the 2015 CLM Litigation Management Institute" Mr. Daniel Costello, Managing Partner, Daniel P. Costello & Associates, LLC will be speaking on the following, “2015 Litigation Management Institute and Coverage Perspectives.” This conference will be hosted at Columbia Law School in New York City from October 22-25. Dan Costello, managing partner of Daniel P. Costello & Associates, LLC, has years of experience concentrating in construction litigation, complex litigation, litigation management, professional liability, and insurance coverage matters. He actively works with insurance companies to improve their litigation management and claims handling protocols. He has also acted as an Instructor at the Litigation Management Institute (LMI) hosted at Columbia Law School in New York. In 2014 he was recognized as a finalist for CLM Outside Counsel of the Year award.In addition to his substantial legal experience where he has handled over 100 major jury trials, arbitrations, and mediations, he also has substantial corporate business experience. In his time working for a Fortune 500 insurance company he became the youngest AVP of Claims Litigation in the history of the 90 year old company rising to the position in only five and half years. During that time he also focused his attention on litigating the most complex and catastrophic loss cases across the country.His bar admissions include the United States Supreme Court, the United States 7th Circuit Court of Appeals, U.S District Court for the Northern District of Illinois Trial and General Bar, U.S. District Court for the Northern District of Indiana Trial and General Bar, the Illinois Supreme Court, Pro Hac Vice to the Supreme Court of North Dakota 2005, Pro Hac Vice to the Supreme Court of Louisiana 2005, and other states.In addition to the CLM, Mr. Costello has also lectured all over the country to insurance companies, businesses, and Fortune 500 companies. He has presented on litigation management, ethical considerations, and construction contracts. He has been recognized as an innovator and leader in integrating law and technology. He has worked with state and federal courts, in the non-profit sector, advising on utilizing the web to promote the spread of information and the rule of law. He is also active in his community contributing legal services and acting as an Executive Council member for the Cara Program. He is also on National Alumni Board for Lewis University.

• About the CLM

The Claims and Litigation Management Alliance (CLM) promotes and furthers the highest standards of claims and litigation management and brings together the thought leaders in both industries. CLM’s Members and Fellows include risk and litigation managers, insurance and claims professionals, corporate counsel, outside counsel and third party vendors. The CLM sponsors educational programs, provides resources and fosters communication among all in the industry. To learn more about the CLM, please visit www.theclm.org.

• Contact:

Susan Wisbey-Smith, Communications Manager, Claims and Litigation Management Alliance. 847-317-9103, susan.wisbey-smith@theclm.org

Sixth Jury Trial Win for Costello Legal

Daniel P. Costello & Associates just racked up the firm's sixth jury trial victory in a row, this time a large case in Cook County.

2010-L-13633 (Illinois, Cook County)

Plaintiff tripped and was injured in a parking lot, dying four days after the fall. As a result, plaintiff's estate brought a wrongful death claim against the owner of the lot, Berwyn Eagles Aerie. Plaintiff alleged that a parking stop was left in a dangerous condition in the lot for over a year, causing the plaintiff to trip and get injured. Partners Dan Costello and James Barrow represented the defendant Berwyn Eagles and ultimately took the case to trial, showing clearly that the defendant was not negligent in its upkeep of the lot in any way. After only 20 minutes of deliberation, the jury agreed and found in favor of the defendant on all counts.

Dan Costello Selected as Moderater at Magna Conference

Dan Costello will be a moderator the Magna Legal Services Conference "Streamlining Relationships with Outside Counsel." Dan will act as Micro-Panel Moderator for a mock emergency crisis and response team for Massive Dynamic. This unique real life exercise will provide solutions to attendees on emergency response, coordination, brand protection, and legal protection. The event will be one part interview, multiple micro-panel discussion groups led the moderators and closing with a mock press conference. The event is set to take place on May 28-29th in Naples, Florida.

Preschool case revolving around a chair as potential "dangerous condition"

2014-L-78 (Lake County, Illinois)

Plaintiff, a 3 year old, attended our client’s preschool gym, where during the day’s activities her head collided with a chair resulting in a permanent dimple-like marking, but not one that caused her pain or discomfort. Ultimately the case went to trial revolving around the issue of whether the chair plaintiff collided with constituted a “dangerous condition.” Plaintiff made a pre-trial demand of $75,000.

Attorneys Dan Costello and Charles Spiekerman represented the daycare during trial and made it clear that the preschool was a safe and well managed operation, and there was nothing dangerous or unusual about the chair at issue. Despite the plaintiff being a very sympathetic plaintiff, the jury ultimately found there was no negligence and returned a full defense verdict.

Dan Costello to Speak at 2015 CLM Annual Conference

CLM PRESS RELEASE: Mr. Daniel Costello to speak at the 2015 CLM Annual Conference.

Mr. Daniel Costello, Managing Partner, Daniel P. Costello & Associates, LLC is speaking on the topic “LITIGATION MANAGEMENT - The New Normal- The Future of Best Practices For Counsel and Claims.” The annual conference will be held in Palm Desert, California, March 25-27, The CLM Annual Conference is the premier annual event for professionals in the claims and litigation management industries.

Dan Costello, managing partner of Daniel P. Costello & Associates, LLC, has years of experience concentrating in construction litigation, complex litigation, litigation management, professional liability, and insurance coverage matters. He actively works with insurance companies to improve their litigation management and claims handling protocols. He has also acted as an Instructor at the Litigation Management Institute (LMI) hosted at Columbia Law School in New York. In 2014 he was recognized as a finalist for CLM Outside Counsel of the Year award.In addition to his substantial legal experience where he has handled over 100 major jury trials, arbitrations, and mediations, he also has substantial corporate business experience. In his time working for a Fortune 500 insurance company he became the youngest AVP of Claims Litigation in the history of the 90 year old company rising to the position in only five and half years. During that time he also focused his attention on litigating the most complex and catastrophic loss cases across the country.

His bar admissions include the United States Supreme Court, the United States 7th Circuit Court of Appeals, U.S District Court for the Northern District of Illinois Trial and General Bar, U.S. District Court for the Northern District of Indiana Trial and General Bar, the Illinois Supreme Court, Pro Hac Vice to the Supreme Court of North Dakota 2005, Pro Hac Vice to the Supreme Court of Louisiana 2005, and other states.In addition to the CLM, Mr. Costello has also lectured all over the country to insurance companies, businesses, and Fortune 500 companies. He has presented on litigation management, ethical considerations, and construction contracts. He has been recognized as an innovator and leader in integrating law and technology. He has worked with state and federal courts, in the non-profit sector, advising on utilizing the web to promote the spread of information and the rule of law. He is also active in his community contributing legal services and acting as an Executive Council member for the Cara Program. He is also on National Alumni Board for Lewis University.

About the CLM:

The Claims and Litigation Management Alliance (CLM) promotes and furthers the highest standards of claims and litigation management and brings together the thought leaders in both industries. CLM’s Members and Fellows include risk and litigation managers, insurance and claims professionals, corporate counsel, outside counsel and third party vendors. The CLM sponsors educational programs, provides resources and fosters communication among all in the industry. To learn more about the CLM, please visit www.theclm.org.

Contact: Susan Wisbey-Smith, Communications Manager, Claims and Litigation Management Alliance. 847-317-9103. susan.wisbey-smith@theclm.org

Dan Costello Featured in Litigation Management Magazine

Dan Costello to Speak at the 2014 CLM Litigation Management Institute

Daniel Costello, Managing Partner, Daniel P. Costello & Associates, LLC will be speaking on the topic, “Coverage Perspectives.” Hosted at Columbia Law School in New York City, the Litigation Management Institute (LMI) is the first certification program specifically designed to provide a comprehensive understanding of the business of litigation management.Dan Costello, managing partner of Daniel P. Costello & Associates, LLC, has years of experience concentrating in construction litigation, complex litigation, litigation management, professional liability, and insurance coverage matters. He actively works with insurance companies to improve their litigation management and claims handling protocols. He has also acted as an Instructor at the Litigation Management Institute (LMI) hosted at Columbia Law School in New York. In 2014 he was recognized as a finalist for CLM Outside Counsel of the Year award.In addition to his substantial legal experience where he has handled over 100 major jury trials, arbitrations, and mediations, he also has substantial corporate business experience. In his time working for a Fortune 500 insurance company he became the youngest AVP of Claims Litigation in the history of the 90 year old company rising to the position in only five and half years. During that time he also focused his attention on litigating the most complex and catastrophic loss cases across the country.

His bar admissions include the United States Supreme Court, the United States 7th Circuit Court of Appeals, U.S District Court for the Northern District of Illinois Trial and General Bar, U.S. District Court for the Northern District of Indiana Trial and General Bar, the Illinois Supreme Court, Pro Hac Vice to the Supreme Court of North Dakota 2005, Pro Hac Vice to the Supreme Court of Louisiana 2005, and other states.In addition to the CLM, Mr. Costello has also lectured all over the country to insurance companies, businesses, and Fortune 500 companies. He has presented on litigation management, ethical considerations, and construction contracts. He has been recognized as an innovator and leader in integrating law and technology. He has worked with state and federal courts, in the non-profit sector, advising on utilizing the web to promote the spread of information and the rule of law. He is also active in his community contributing legal services and acting as an Executive Council member for the Cara Program. He is also on National Alumni Board for Lewis University.

About the CLM

The Claims and Litigation Management Alliance (CLM) promotes and furthers the highest standards of claims and litigation management and brings together the thought leaders in both industries. CLM’s Members and Fellows include risk and litigation managers, insurance and claims professionals, corporate counsel, outside counsel and third party vendors. The CLM sponsors educational programs, provides resources and fosters communication among all in the industry. To learn more about the CLM, please visit www.theclm.org.

Contact: Susan Wisbey-Smith, Communications Manager, Claims and Litigation Management Alliance. 847-317-9103. susan.wisbey-smith@theclm.org

Dan Costello Selected as a finalist for the CLM 2014 Outside Counsel Professional of the Year Award

Dan Costello has been selected as of one of four finalists for the Claim and Litigation Management (CLM) Outside Counsel Professional of the Year. This prestigious national award is in its third year and seeks nominations from its 25,000 plus members recognizing the efforts of counsel across the county who have transformed claims and litigation management best practices with innovative and effective solutions. Dan was the only attorney from the Midwest who was nominated as a finalist. The winner of the award will be chosen by the Advisary Board of CLM at the National Conference in Boca Ration Florida on April 9, 2014. The CLM is the only national organization created to meet the needs of professionals in the claims and litigation management industries.In addition to his day to day work litigating complex and construction claims, Dan Costello was recently recognized as an instructor on coverage litigation at the Litigation Management Institute (LMI) held at Columbia Law School in New York, and holds a Certified Ligation Management Professional (CLMP) designation.

For further information, please see March 7 announcement:

For Immediate Release
March 7, 2014

CLM Professionals of the Year Finalists Accounced

New York, NY – The finalists in the 2014 CLM Professionals of the Year Award Program, sponsored by Ringler Associates, have been selected. Because of the large quantity of exceptional nominees, four finalists have been chosen in each category. Finalists were chosen based on their commitment to the profession, leadership in the industry and contribution to the financial success of their company or clients.

The finalists will be recognized and the award winners will be announced on April 9 at the CLM Annual Conference in Boca Raton, Florida. Members of the CLM Advisory Board will select one winner in each of the three categories.

Claims Management
• Jeff Bilitz, Claims Director, West Bend Mutual Insurance Company
• Angela Henderson, Claims Manager, BerkleyNet
• Michael Mattix, General Counsel, Chief Claims Officer, Armed Forces Insurance
• Caryn Siebert, President and CEO, Carl Warren & Company

Litigation Management
• Robert Baer, Claim Executive, Arrowpoint Capital
• Jill Dulich, Senior Director, Marriott International, Inc.
• Michelle Stegmann, Nationwide Manager/Enviro & Regional Manager/Crisis Management Claims, Starr Indemnity & Liabiltiy Company
• Jennifer Wojciechowski, Senior Claims Technical Specialist – Casualty, Community Association Underwriters of America, Inc.

Outside Counsel
• Daniel Costello, Daniel P. Costello & Associates
• William Nebeker, Koeller, Nebeker, Carlson & Haluck, LLP
• Kevin O’Toole, O’Toole Fernandez Weiner Van Lieu, LLC
• Miranda Soto, Hamilton, Miller & Birthisel LLP

About the CLM
The CLM promotes and furthers the highest standards of claims and litigation management and brings together the leaders in both industries. CLM’s Members and Fellows include risk and litigation managers, insurance and claims professionals, corporate counsel, outside counsel and third party vendors. The CLM sponsors educational programs, provides resources and fosters communication among all in the industry. To learn more about the CLM, please visit www.theclm.org.

Contact:
Susan Wisbey-Smith
Communications Manager, The CLM
847-317-9103
susan.wisbey-smith@theclm.org

Achieving Volume, Value and Reproducibility: Designing Our “New” Firm For the New World

By: Dan Costello

At the heart of town, there is a law firm with a marble fountain in its lobby that now sits silent, motionless and dry. The corner offices where attorneys once sat behind solid mahogany doors, looking down on the city and billing, always billing, are empty. The bullpen is eerily still. Turning off the lights for the last time and closing the heavy glass doors behind him, an aged attorney wonders to himself how it all came apart. One by one, clients left for faster leaner and more efficient competitors… firms he was too big, too slow and too expensive to compete with. He didn’t stand a chance.

According to a 2011 survey commissioned by the Council on Litigation Management, the overwhelming majority of carriers listed “faster resolution” as their top area where their existing counsel needed improvement. Respondents wanted their attorneys to “use their experience” to spend “less time in discovery” and “move cases more quickly.” But, these same carriers said that when it comes to achieving faster resolution through improved efficiency, only about 40% of firms “get it.”

Around the country, attorneys are facing the cold harsh truth that the legal profession is a marketplace. Attorneys are incentivized to treat every motion, contract, and memorandum like arcane texts that only a person with a legal degree and years of experience could ever hope to produce. This mentality is lucrative. To many senior attorneys, delegating this work to young associates, paralegals and *gasp* law clerks seems at-best like a missed opportunity to bill. While the lawyer who handles every task himself can achieve a high level of quality, they sacrifice volume, reproducibility and value, things that the current market demands. No client wants to hear that their litigation is dragging on needlessly because their attorney is spending too much time on someone else’s case. Most importantly, no client wants to hear that they paid more than they needed to for services because their attorney was doing tasks that could have been performed by an associate or paralegal. Yet this is the norm for many law firm across the country.

Now, imagine a law firm where, with a simple cue from an attorney, a team of paralegals, law clerks, and support staff begin drafting interrogatories, preparing subpoenas, and issuing discovery. This firm is fast. Everyone works from templates and standardized documents - tweaking and modifying them to suit the needs of the supervising attorney. Everyone uploads their work to the digital cloud for the supervising attorney to review electronically. And, no one needs to be in the same office, the same time zone, or even the same country. This law firm repeats success; it keeps an electronic library of every motion is has ever drafted. When that same attorney needs a motion, she directs her paralegal to motions covering similar issues and dealing with similar facts. Pulling from those motions, the paralegal crafts a brand new motion. The motion is reviewed, revised and filed 100% electronically. Successful motions and pleadings are incorporated into the firm’s knowledge base, while unsuccessful ones are not. And, because this firm is fast, the entire process takes a fraction of the time required by a traditional firm. Our firm understands value, keeping quality high and costs low. Systems are put in place to ensure that every piece of work product is reviewed by a supervising attorney. Routine processes are made near-automatic. With every case, the whole firm becomes smarter, faster and more efficient. At our firm, success is now repeatable. And our firm’s the most valuable resources, its attorneys, are freed up to focus on the tasks most critical to resolving cases for the client. Firms stuck in the old model really don’t stand a chance.

Daniel Costello to Serve as a Professor at the CLM 2013 Litigation Management Institute

Daniel Costello, Attorney, Daniel P. Costello & Associates, LLC, will be a professor at the Claims and Litigation Management Alliance Litigation Management Institute (LMI) speaking on the topic, “Coverage Perspectives.” Hosted at Columbia Law School in New York City, LMI is the first certification program specifically designed to provide a comprehensive understanding of the business of litigation management. The program is designed to bridge the gap between legal theory and litigation strategy, and the business aspects of litigation management. 

Daniel Costello, Founder of Daniel P. Costello & Associates, LLC, has years of experience concentrating in complex litigation, construction litigation, litigation management, and insurance coverage.  He has successfully handled over 150 major jury trials, arbitrations, and mediations. He has an undefeated trial record, working on significant multi-million dollar cases.  Mr. Costello has had handled some of the largest construction and products liability case in the state of Illinois.  Additionally, he has litigated and managed cases across the country including Washington, Texas, Louisiana, North Dakota, Wisconsin, Indiana, Missouri, and Illinois. Additionally, he has substantial corporate business experience. In his time working for a Fortune 500 insurance company he became the youngest VP of Claims Litigation in the history of the 90 year old company rising to the position in only five and half years. In his time working as the head of all staff counsel operations, and directing all litigation management programs the company experienced a significant turn around. During this time the company implemented a full range of cost and litigation management tools including the use of active metrics, counsel scorecards, continuous process improvements, and systematic audits. 

Mr. Costello graduated from Lewis University as an “Honors Scholar” graduating with High Honors with a Bachelor of Arts in Political Science/History.  He graduated from Chicago-Kent College of Law with a Juris Doctor and a certificate in Energy and Environmental Law.  He also received an post bachelor's Certificate in Leadership from Xavier University.About the CLMThe Claims and Litigation Management Alliance (CLM) promotes and furthers the highest standards of claims and litigation management and brings together the thought leaders in both industries. CLM’s Members and Fellows include risk and litigation managers, insurance and claims professionals, corporate counsel, outside counsel and third party vendors. The CLM sponsors educational programs, provides resources and fosters communication among all in the industry.

To learn more about the CLM, please visit http://www.theclm.org. Contact:

Susan Wisbey-Smith, Communications Manager, Claims and Litigation Management Alliance

847-317-9103

susan.wisbey-smith@theclm.org

2013-The Rise of "Big Data", and the Triumph of Effectiveness over Efficiency

By: Dan Costello

It was a balmy 80 degrees, the skies were blue, the air was dry, and the discussions were energized. Although the location was at a resort, I was not on vacation. I was at the CLM Annual Conference where most of the blue sky talk was on business strategy, and the energy came from some of the top executives and attorneys in the corporate, insurance, and legal communities. As I listened to some of the top thought leaders in the country, I was constantly struck with the commonality in their comments. The same thought kept popping into my head . . . "Are we ready for the next big leap?" According to IBM Consulting, over 90% of the world's data has been created in just the last two years. Known as "Big Data" every mouse click, tweet, post, invoice, and settlement for companies is being recorded. What does a company do with all that data? More importantly what value does it provide the business and its partners? These are questions that face large and small organizations alike and ones currently challenging the same thought leaders. In an act of hubris creating a solution to solve these problems, I think that successful organizations will tackle the "value" question only by:

Collaboration

Although its not the first time I have blogged about this, in the era of big data information sharing is paramount. With so much data, more information sharing would seem counter-productive. But, sharing partner specific data is essential. Sharing has been done successfully in corporations, but little has been done on whole to share this externally with litigation partners. In fact, the few leading companies sharing this with their business partners are the minority. Information sharing is not a one way street, as law firm partners should help to "crowd source" or "partner source" difficult information to capture, and provide it back to their clients to help add value. Data on KPIs such as total case outcome, which is reliable, and consistent helps to triangulate and identify problems. This also helps to significantly increase the brain power to collect, analyze and distribute data.

Visibility

What good is the data if its buried in a warehouse? When a coach is deciding which player to put in at the end of the game, he relies on data. He knows who has the best average, most goals, and best shooting percentage. But guess what, the player also knows his/her stats. All the data in the world is not helpful unless its put in context. If reducing cycle time is beneficial to you and your bottom line, let your partners know of your benchmarks, and where they fall on the spectrum. Is a 30% average good or bad? Well it depends if we are talking about a batting average in baseball, or save percentage in soccer.

Reward

Value is created when reward meets opportunity. Only by creating incentives to reach a common goal does value happen. Data lets us know how close we are to success, and drives us forward to get there. By the use of real time dashboards, managers and partners can highlight success, steer business to those at the top of the pyramid, and find more ways to incorporate top performers into their organizations. After all leaders are looking for effective problem solvers, not just those who are efficient on throwing things over the wall. Thomas Edison wisely stated "many of life's failures are people who did not realize how close they were to success when they gave up." Only by collaborating with visible benchmarks will partners truly succeed and conquer big data.

Guide to Utilizing Social Media Websites in Investigating Claims

By: Daniel P. Costello, Esq. & Jessica Biagi, Esq.

Why use social media websites to investigate claims? You would not believe what people are putting on the internet these days! A recently widowed husband claiming loss of consortium posts a picture of himself at a beach with barely dressed women wrapped around his waist. A claimant who broke his ankle tweets that he has fully recovered and cannot wait to run another marathon. A plaintiff's witness posts the day after the alleged incident that she is severely hungover and does not remember much about what happened the night before.

Social media can provide invaluable information when evaluating a claim, preparing a defense, or preparing for trial. For example, defense counsel can use a Facebook photograph or Twitter post you found on a social media website to rebut a claim for damages or impeach a plaintiff's credibility at trial. Nevertheless, in using social media to investigate claims, you need to be careful to avoid crossing the line and putting your defense counsel in an awkward ethical position.

How to keep things ethical

If the information is public, it is fair game. However, if a person's profile is set to private, certain ethical problems can arise. Attorneys are not allowed to use deceptive investigatory tactics or engage in prohibited communications, whether through their acts or the acts of another. This means that if you create a false profile or friend a represented claimant, the attorney can get in trouble and the information itself can be thrown out. While several jurisdictions allow attorneys to friend unrepresented individuals under certain circumstances, the safe bet is to alert defense counsel to the profile and allow them to make a formal discovery request.

How to make it count

Once you find the “smoking gun,” what do you do with it? To make it count, you need to properly collect the social media-based evidence so that defense counsel can circumstantially lay the foundation at trial. Make sure to preserve enough information about the website to establish that it belongs to the subject claimant/witness. Record the site's URL, how you found it, the date and time you viewed it, and any other identifying details (ie, username, stated location, communications with other witnesses). Using the “snipping tool” on your computer, take various snapshots of both the post and the profile in general. A judge will consider all the particular details in combination.

How to avoid surprises on this end

What goes around, comes around. Make sure to look up your clients and alert defense counsel to any potential issues with their social media websites. If no formal discovery request has been made in the case, it may be permissible to remove the adverse content.

What a Way to End a Year, 2012 Ends in a Bang

As another year draws to a close the internet is a buzz with stories of the top ten movies of the year, this year's best gifts, and the stories of the year. We have been doing quite a bit of reflecting here again, and we wanted to share some of the highlights of 2012 with our friends and clients.

Although typical lists try and recap the entire year, we won't try and do so here. It just happened in December but we would be remiss if we didn't start with an excellent trial result. On December 10, 2012 a Cook County jury found in favor of our client, a national retailer, in a high stakes jury trial. The plaintiff asked the jury for $9.5 million dollars where he had nearly $1 million in paid past medical bills, $2.1 million in wage loss and a claimed $6 million in non-economic damages. The plaintiff would not move off a $5.4 million pre-trial demand, and turned down a joint defense offer of $2 million dollars, with indications for additional settlement. The jury found for our client, and assessed 0% liability. This was a major victory as joint and several liability in Illinois would require payment of medical for any verdict including 1% on liability. The trial team of Dan Costello, James Barrow, and Jessica Biagi tried the case for nearly two weeks, ending in a verdict followed by the Illinois Trial Lawyer's association. In addition to success in the Courtroom the firm has spent a great deal of time developing and studying industry best practice.

In September 2012, Dan Costello presented on the Ethics of Alternative fees to global risk managers and insurance executives in Philadelphia. He presented on a panel with former Associate General Counsel for Harleysville Insurance, along with the former Chief Legal Counsel for the Pennsylvania Department of Insurance. Shortly after presenting, Dan was part of the second Litigation Management Institute at Columbia Law School in October 2012. The intensive program provided by CLM is a one of kind program putting experienced litigation attorneys, risk management officers, and corporate leaders through rigorous course work for three days. Leaders from Google, Marriott, Liberty Mutual, and other Fortune 100 companies guided the attendees through best practice in litigation management and service to clients. Dan is one of 170 people in the U.S. to have completed the course, and he earned the CLMP designation.

Finally, the firm prides itself on the work that it is doing with two national insurance carriers in regards to litigation management. 2012 saw the firm work successfully with two major U.S. based carriers to create counsel scorecards, litigation management best practices, and unique solutions. These solutions will create value long into 2013 and into the future. Although a successful 2012 is over, there are many exciting events planned for next year, and we look forward to celebrating them with our friends and clients.

Daniel P. Costello specializes in construction litigation, complex litigation, and litigation management.