2007 07 - The Alabama Jury Verdict Reporter - 2002 - LC - Smith, et al. v. AmerUs - 3p
Fraud - The owner of a company purchased two life insurance policies based in part on assurances that the premiums would remain level for the duration of his life; fourteen years later the premiums went up, and the policies lapsed.
Verdict: $6,500,000 for plaintiff (allocated $2,500,000 compensatory and $4,000,000 punitive)
Circuit: St. Clair, 3-12-07
Judge: Charles E. Robinson
2006 - LC - AmerUS Life Insurance Company v. Bobby Ray Smith
1041054
937 So. 2d 510
2008 0919 - LC - AmerUS Life Insurance Company v. Bobby Ray Smith
Appeal from the St. Clair Circuit Court, No. CV-02-304, Charles E. Robinson, J
1997 - LC - Atchison v. Woodmen of the World Ins. Soc., 982 F.Supp. 835 (S.D.Ala.1997) - [Google-Scholar].
Plaintiffs allege that they (and the members of the proposed class) were fraudulently induced to purchase life insurance policies from Woodmen as the result of misleading sales presentations, policy information and marketing information developed by Woodmen and used by its nationwide sales force.
Specifically, plaintiffs contend that the defendants misrepresented: (1) the number of payments a policyholder would have to pay, (2) the policy's cash value or benefits, (3) that the insurance policy was actually an investment plan, (4) that it would be beneficial to "roll over" the cash value of an existing insurance policy to purchase a universal life policy and (5) that the premium would be lower than it actually was. Compl. pp. 6-8.
The complaint further alleges that the defendants "embarked upon a scheme and common course of conduct through their state and area managers and a nationwide sales force to sell Policies to the public and current Woodmen insureds through false and misleading uniform sales presentation and policy illustrations." Id. p. 13.
Based on these allegations, plaintiffs assert claims under Alabama law for churning or twisting, breach of contract, fraud, misrepresentation, negligent or wanton supervision or training and unjust enrichment.