Opinion ID: 1225642
Heading Depth: 4
Heading Rank: 3

Heading: Village of Orland Hills v. Arthur J. Gallagher & Co.

Text: Village of Orland Hills, filed on September 22, 2000, in Illinois Circuit Court, Cook County, was a class action alleging that Gallaghera brokerbreached its fiduciary duties by receiving undisclosed contingent commissions (kickbacks) from insurance companies for insurance placed on behalf of its insureds. Village of Orland Hills v. Arthur J. Gallagher & Co., No. 00-CH-13855 (Ill.Cir.Ct.2000). (J.A. 171 ¶ 1.) The complaint also alleged that Gallagher's contingent commission agreements with insurance companies created a conflict of interest, in breach of fiduciary duties, because the broker puts its financial interests first, secretly profiting at the expense of its clients by placing insurance policies with those insurance companies which pay contingent commissions. (J.A. 174 ¶ 15.) No insurer, including The Hartford, was named as a defendant. The Village of Orland Hills lawsuit was discussed in a brief (167 word) squib that appeared in the Chicago Tribune. The article succinctly summarized the allegations in the complaint. (J.A. 227.) Neither The Hartford nor any other insurer was mentioned in the Tribune article.