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Robert's Wrap-Up
By Robert Warne - January 21, 2002

One Man’s Bad News Becomes a Reality

In 1993 Anthony Northcutt was told by Oklahoma City-County Health Department that he tested positive for the AIDS virus. During the four years following this news he became emotionally distressed, suicidal and engaged in unprotected sex. In 1997 he obtained his medical file which revealed he wasn’t actually infected. Two months after he discovered the clinic’s error, Northcutt was tested again—the result was for real, this time. Northcutt sued the Department for its negligence. The Health Department said the results of the initial test were correct, but were incorrectly communicated to Northcutt. The department argued that its liability should be reduced because Northcutt was negligent by having unprotected sex. The jury awarded him close to $1.4 million.

Where do We Send the Check?

Swiss Re America Holding Corporation has paid out about $150 million to the World Trade Center’s (WTC) leaseholder Larry A. Silverstein, but the question has surfaced over whether this is the right place to send the check or not. GMAC Commercial Mortgage, one of Silverstein’s lenders filed a complaint in a New York State Supreme Court charging that Silverstein is misallocating insurance money he receive. Silverstein is accused of using some of the insurance money to pay lobbyists who are working to limit his liability to victims and has directed other monies towards paying his companies that manage the WTC.

A Silverstein Properties spokesman said that after its financial obligations are met including paying rent to the Port Authority of New York and New Jersey and the balance is available for Silverstein to use towards expenses connected with rebuilding. GMAC disputes this.

All along Swiss Re has sought the assistance of a judge to clarify how the insurance money should be divvied up.

If They’re Good Enough for the FAA They’re Good Enough for NASCAR

NASCARhas announced the use of a “black box” called “The Witness”—a technology used by employers to reduce workers’ compensation and property claims—will be installed in all cars participating in its sanctioned events. Independent Witness Inc., a Salt Lake City company is the manufacturer of the incident data recorder commonly referred to in air traffic world as “black boxes.” NASCAR officials hope to use the data provided from the black boxes to learn more about particular crashes in an attempt to make stock car racing a safer sport.

 
 

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