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Fourth DCA Reverses Order Enforcing Settlement Against FIGA

Caryn Bellus and Daniela Marrero of our Miami office and Bretton Albrecht, of our Ft. Lauderdale office, obtained a reversal of an order enforcing settlement against FIGA from the Fourth District Court of Appeal in Florida Insurance Guaranty Association v. Cantwell, No. 4D2025-0042 (Fla. 4th DCA Aug. 12, 2026). The trial court had ordered FIGA to pay the full amount of a pre-insolvency settlement agreement, including the portion allocated to attorneys’ fees. The Fourth DCA reversed, recognizing that where the complaint sought attorneys’ fees, and the settlement agreement and release provided that the payment was inclusive of attorneys’ fees — with the total divided into a portion for the insureds and a separate portion for the insureds’ counsel — FIGA was not liable for the attorneys’ fee portion of the settlement, as such fees are not a covered claim for which FIGA is liable. See full opinion HERE.

 

 

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