Practice Areas
Insurance Recovery and Counseling
Scheidemantle Law Group P.C. protects policyholders against insurance companies in complex insurance coverage disputes. Policyholders pay expensive premiums for their insurance. They do not deserve to be confounded by the traps, pitfalls, and swindles all too often perpetrated by insurance companies in their schemes to avoid paying valid claims. We fight back, with a remarkable track record of success. As firm founder and President David Scheidemantle advises, “You paid for your insurance. Let us fight for it.”
We advise and represent policyholders nationally and internationally in insurance coverage matters in wide-ranging areas, environmental claims, wrongful death, toxic injuries, sexual abuse matters, data breach, and cyber coverage to large property losses, business interruption, performance cancellation, professional liability/errors and omissions, directors and officers, employment practices, products liability, construction defects, builders risk, worker compensation, life, and bad faith lawsuits. We counsel clients in developing risk-management programs, maximizing and preserving insurance assets, and recovering insurance proceeds through negotiations, and, if necessary, litigation. We also assist clients in evaluating contractual indemnification provisions and insurance requirements and in developing plans for compliance with those requirements.
The achievements of our lawyers
- Following multi-carrier coverage litigation in Wisconsin, negotiated coverage-in-place agreement worth nearly $100 million.
- Established owner’s compliance with protective safeguards under builders risk policy though use of cellular telephone forensics evidence, saving coverage in massive loss caused by arson.
- Tripled coverage awarded for apartment owner’s fire loss.
- Through coverage litigation, persuaded top tier insurer to fund 100% of settlements in construction litigations in California and Utah.
- Overcame lead paint exclusion to obtain coverage in excess of policy limits for landlord sued in lead paint habitability claim.
- Successfully represented doctor in obtaining coverage in action alleging that the doctor defamed another physician in the doctor’s medical record, then won the underlying action.
- Supported broker client in persuading insurer to provide coverage for securities claim notwithstanding insurers’ reliance on interrelated wrongful acts exclusion.
- Supported plaintiffs’ counsel in numerous habitability claims to establish coverage under defendants’ insurance programs.
- Won preliminary injunction prohibiting insurance company from continuing to deny insured the right to independent counsel under California Civil Code Section 2860(c).
- Prosecuted insurance coverage actions in federal district courts in Pennsylvania, Texas, and Massachusetts, resulting in highly favorable settlement under which insurer funded past and future claims alleging mass product failure across multi-billion-dollar market.
- Counseled multinational chemical company regarding insurance coverage for products liability claim with alleged damages exceeding $1.5 billion.
- Persuaded a property insurer to reverse its denial of coverage and, after continual lowballing of estimated repair costs by the insurer, recovered 100% of the amount of the claim, which involved extensive property damage to a Southern California residence.
- Recovered defense costs incurred in the successful defense of a construction defect litigation in Louisiana.
- Overcame subsidence exclusion to persuade insurers of construction manager to fully cover defense and indemnity of wrongful death action by construction worker suffocated by collapse of earth and foundation.
- Established coverage in string of three travel insurance matters by challenging adjusters’ wrongful denials at the highest levels of the company, resulting in one instance in apology by the head of the company and the payment of attorneys’ fees in all three.
- Recovered defense costs incurred in the successful defense of two occupational toxic exposure cases in Los Angeles Superior Court.
- Recovered defense costs from insurance carrier in liquidation proceedings in Illinois.
- Renegotiated a London market collections policy to meet policyholder’s expectations for coverage of a $12 million violin while it was on loan to performing violinists.
- Won full insurance coverage for software manufacturer sued for invasion of privacy, along with all costs incurred in pursing coverage.
- Managed coverage among multiple carriers in complex environmental claims in Pennsylvania that involved regulatory proceedings, a class action by property owners, 14 private actions, and cost recovery litigation among potentially responsible parties.
- Managed insurance matters on behalf of owner for $34 million construction project.
- Won recovery from multiple insurers of $2.85 million in coverage fees and defense costs incurred by a client in successfully defending products liability action in Wisconsin alleging $30 million in damages.
- Argued and won reversal in the U.S. Court of Appeals for the Ninth Circuit (KF Dairies, Inc. v. Fireman’s Fund Ins. Co., 224 F.3d 922 (9th Cir. 2000)) in favor of a policyholder in which the Ninth Circuit adopted the after-acquired property doctrine in environmental coverage matter, notwithstanding California appellate authority rejecting that doctrine.
- Litigated environmental coverage against 10+ carriers in one of the largest bankruptcies in the history of the State of California, obtaining millions of dollars in environmental cost recovery and defense costs.
- Argued and won summary judgment in the U.S. District Court for the Central District of California, obtaining coverage for a high-profile performing artist sued for wrongful death.
- Won insurance coverage from multiple off-shore insurance carriers and insurance broker for a performing group under a Lloyd’s of London tour-cancellation policy.
- Obtained coverage for manufacturer’s settlement of multi-plaintiff New Jersey employment action alleging race, sex, and age discrimination.
- Counseled investment management company concerning allegedly interrelated wrongful acts in multiple FIRREA arbitrations.
- Counseled accounting firm in professional liability claim in which non-admitted carrier allegedly engaged in post-claims underwriting.
- Won full insurance coverage for software manufacturer sued for invasion of privacy, along with costs incurred in pursing coverage.
- Advised religious organization regarding insurance coverage for sexual abuse claim under London market policies.
- Won full insurance coverage for settlement and defense of housing discrimination class action lawsuit.
Construction Products Practice
Class Action Defense
Twice put down plaintiff’s attempts to certify a class on behalf of window manufacturers throughout the United States, then won summary judgment in favor of U.S. subsidiary of $90 billion petrochemical company in action involving alleged defects in insulating glass sealants used in $4 billion worth of windows over a 20-year period, then argued and won affirmance in the Ninth Circuit U.S. Court of Appeals, then defeated petition for certiorari in U.S. Supreme Court. Wasco Products v. Southwall Technologies, et al., 435 F.3d 989 (9th Cir.), cert. denied, 127 S. Ct. 83 (2006).
Defeated class certification in putative class action in Los Angeles federal court involving 29,000 installations, where the alleged damages ranged between $25,000 and $55,000 per installation, arising out of the use of an allegedly defective flooring material, then settled action without any settlement payment.
Avoided class certification in 1,000-home construction defect litigation, then negotiated a minimal four-figure settlement involving the five named plaintiffs.
Obtained dismissal for lack of subject matter jurisdiction of putative construction product defect class action in San Diego federal court where alleged damages exceeded $1.8 billion.
Successfully defended product manufacturer in construction defect putative class action, where the manufacturer was brought into the action as a third party well into discovery.
Mass Alleged Defect Defense
Argued and won affirmance in the U.S. Court of Appeals for the Second Circuit of the dismissal of a massive action alleging $4 million in damages. Four Seasons Solar Prods. Corp. v. Black & Decker Corp., et al., 2004 U.S. App. LEXIS 10688 (2d Cir. June 1, 2004).
Won dismissal – based on plaintiff’s failure to collect all but 40 of the alleged thousands of failed units (250 per week) spanning the United States – of virtually all claimed damages in alleged $30 million construction products defect action filed by the largest U.S. manufacturer of such units in its own home town; then defeated plaintiff’s petition for interlocutory appeal. Shortly thereafter, when we refused to negotiate a settlement and communicated our intention to proceed with 70 depositions over the 40 remaining units, plaintiff agreed to dismiss the action in exchange solely for a waiver of costs.
Aggressively defended $2.1 million, 17,000 failed-window action in Montreal, Canada, filed by manufacturer with known organized-crime connections, resulting in a voluntary dismissal on the eve of trial without the payment of any money, following a successful motion to preclude the manufacturer’s evidence at trial.
Defended client in multiple actions alleging failures in construction material in California, Hawaii, Illinois, and Oregon, then counseled R&D personnel of client in discovery of the cause of the alleged failures and in reformulating the material.
Participated in coordinating national defense and trial strategy for Fortune 100 company in approximately 150 products liability asbestos-in-buildings cases involving tens of thousands of buildings located throughout United States, including virtually every public utility building, public school, public office building, bridge, and tunnel in the City of New York.
Litigation Avoidance
Through statistical and economic modeling, avoided litigation and negotiated minimal settlement on behalf of alleged manufacturer of polybutylene water pipes in multimillion-dollar claim asserted by utility company.
Disposed of potential claim by major university involving alleged defects in all of its swimming pools, without the payment of any settlement funds, by persuading the university and other impacted parties that the client’s product was not the cause of the defects.
Through pre-complaint correspondence demonstrating client’s products were not at fault, avoided client’s inclusion in subsequently filed litigation regarding failure of membrane on exterior balconies on newly built Atlanta high rise luxury condominium building where damages exceeded $2 million.
Without litigation or settlement payment, disposed of $1 million claim alleging defect in roofing materials used in hundreds of roofs in Illinois.
Defended claims, avoiding litigation and payment of any settlement funds, alleging defects in caulking materials used in luxury yachts located in seas and ports throughout the world.
Advice and Counseling
Advised and counseled client regarding testing to verify prior claims the client’s documentation had made about the product that had become a critical issue in a multi hundred-million dollar putative class action, thereby undercutting the plaintiffs’ case and assisting the client in avoiding liability.
Analyzed potential risks and exposure and advised and counseled concerning reformulation of construction products.
Claims management, crisis management, manufacturing and sales allocation counseling, and coordination of communications relating to regulatory agency investigations, OSHA citations, potential claims arising out of Force Majeure, and other potential exposure arising from explosion at plant utilized for manufacture of construction products.
Structured and wrote customer-oriented warranty programs for client for construction products for both commercial and consumer sales.
Advised and represented client in connection with the licensing, toll manufacturing, and potential divestiture of construction products business.
Advised clients concerning scope, adequacy, and coverage provided by builder’s risk insurance, and coordinated and negotiated with insurance brokers.
Advised clients concerning additional insured designations and certificates of insurance (including waivers of subrogation, disclaimers contained in certificates, and establishing additional insured status).
Reviewed, revised, and negotiated more than 500 agreements related to construction and construction products, including supply agreements, indemnification agreements, private label agreements, leases, toll manufacturing agreements, toll packaging agreements, shipping agreements, consultancy agreements, employment agreements, vendor agreements, compliance agreements, terms and conditions of sale, terms and conditions of purchase, sales representative agreements, consignment agreements, distributor agreements, service agreements, joint-venture agreements, licensing agreements, and non-disclosure agreements.
Other Defect Litigation
Successful defense, with no payment of any settlement funds, of product defect litigation involving a hotel constructed in Deadhorse, Alaska.
Won early dismissal on the pleadings, without leave to amend, in Atlanta federal court of $3.5 million fraud and breach of warranty claim by client’s private label customer alleging sale of defective construction products.
Defended and successfully resolved litigation in Hawaii alleging failure of flooring product in prominent construction defect plaintiffs’ lawyer’s home.
Successfully moved to dismiss action alleging defects in caulking product used in hospital installation of fiberglass reinforced panels.
Product Liability, Toxic
Exposure, and Mass Tort
Our product liability, toxic exposure, and mass tort law practice focuses on the management and litigation of complex, high stakes liability matters arising from the production and sale of allegedly defective products and exposure to allegedly harmful substances. Because such matters may not be confined to one court or one jurisdiction, they often require strategic coordination by sophisticated national counsel to limit liability, achieve efficiency, and avoid the pitfalls of a disjointed defense conducted independently by multiple counsel. The firm’s founder, David R. Scheidemantle, has been involved in such representations since the 1980s, when he was part of a team defending a manufacturer of asbestos-containing fireproofing in approximately 150 litigations nationwide, involving thousands of buildings, including virtually every public school and public building, and multiple bridges, tunnels, and office buildings in the City of New York.
Business Litigation and
Dispute Resolution
Our business litigation attorneys have extensive experience representing clients in complex civil litigation and arbitration matters, including defense of class and representative actions, defense of unfair business practice cases, antitrust litigation, contract disputes, trade secret disputes, appeals, professional liability, and arbitration. Our lawyers’ work in this area of practice includes the following:
- Won an injunction against our client’s former employee in a theft-of-trade-secrets action, precipitating a favorable settlement.
- Prosecuted and successfully resolved a $100 million contract claim on behalf of a Spanish pharmaceutical company against a California supplier of blood plasma in an International Chamber of Commerce arbitration venue in London, governed by California and Dutch law, in which the principal arbitrator sat in Britain’s House of Lords.
Class and Representative
Action Defense
- Served as personal and insurance coverage counsel for an affordable housing developer in a housing discrimination class action.
- Defended major rental car company in a series of class action litigations involving alleged unfair business practices in the rental contract, concerning such matters as the refueling service charge and the collision damage waiver.
- Defended auto manufacturer in class actions arising out of the alleged ease with which thieves could access and steal the specialized headlights installed in the manufacturer’s vehicles.
- Twice put down plaintiff’s attempts to certify a class on behalf of window manufacturers throughout the United States, then won summary judgment in favor of U.S. subsidiary of $90 billion petrochemical company in action involving alleged defects in insulating glass sealants used in $4 billion worth of windows over a 20-year period, then argued and won affirmance in the Ninth Circuit U.S. Court of Appeals, then defeated petition for certiorari in U.S. Supreme Court. Wasco Products v. Southwall Technologies, et al., 435 F.3d 989 (9th Cir.), cert. denied, 127 S. Ct. 83 (2006).