David J. Stern Insurer, Admiral Insurance Company Files Lawsuit, Says it doesn’t Cover Claims Involving “Fraud”

Stern insurer wants out of policy, says it doesn’t cover claims involving “fraud”

by Kim Miller

An insurer for former foreclosure giant David J. Stern wants out of its policy, saying in a lawsuit that the company doesn’t cover “claims based upon, arising out of, directly or indirectly resulting from or in consequence of, or in any way involving a dishonest, fraudulent, criminal, or malicious act or omission.”

Admiral Insurance Company filed a lawsuit Thursday in the United States District Court, Southern District of Florida, saying it shouldn’t be responsible for defense expenses in two class-action claims filed against Stern in Palm Beach County. Stern had a $3 million policy with Admiral that expired last year.

The claims, filed in 2007 and 2009, allege Stern’s Plantation-based firm violated state laws by trying to collect unnecessary fees serving summonses to multiple “unknown” residents and tenants of homes in foreclosure and overcharging for title searches and examinations.

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6 Responses to “David J. Stern Insurer, Admiral Insurance Company Files Lawsuit, Says it doesn’t Cover Claims Involving “Fraud””
  1. incognito123 says:

    Maggie, it IS pretty amusing to say the least! HellNo, it IS great to see, although more needs to be done, at least it is happening, now for the next law firm. . . . Lies, nope, your not missing anything, the corruption is rampant in Flori-dah. See, and for that matter, what about all the homes stolen period, from ALL the companies. Stern was only one of two firms to go down, but they are all submitting fraud and getting away with it, so far anyway.

  2. see says:

    OK last week there was an article about GMAC suing Stern for his attorneys using fraud practices to foreclosure on homes. Now we heard about this own insurance company refusing to cover claims of fraud. Seems like his plan to be the best of the best in foreclosures is slowly starting to unravel. GMAC is admitting that there was fraud by suing Stern and now there are problems with the insurance. So what happens to all those houses that GMAC sent to Stern and he foreclosed on illegally?

  3. lies is all they tell says:

    and they still foreclose and the insurance company will not even insure stern but because of fraud but the still foreclose with fraud on the court. i am missing something. florida is way to courrupt. doesnt make any sense anyonw like to explain be my guest. oh did i here judges have been bought ? by tbf , lps and all others. i thoight i didd

  4. Hell No, No More Bail-OUTS says:

    And now Stern has to defend himself against his former insurance company? Sweet. Sic those dogs on him.

  5. maggie May says:

    what channel is fraud dog tv show?

  6. maggie May says:

    he he

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