As reported in previous issues of Expect Focus, Louisiana’s Attorney General filed suit against several property insurers, alleging that they conspired and colluded among themselves, and with co-defendants Xactware, Inc., Insurance Services Office, Inc. and McKinsey & Company Inc., to artificially reduce the value of property claims by manipulating a claim database used as an industry reference (see Expect Focus, Vol. I, Winter 2008). The defendants removed the case to federal court and moved to dismiss the plaintiff’s antitrust claims under the Louisiana Monopolies Act. The defendants argued that the complaint failed to allege either a conspiracy or any injury to competition, as required by the Act.

The court agreed with the defendants and dismissed all of the claims with prejudice at a hearing in open court on December 17, 2008. The court did not issue a written decision. The Louisiana Attorney General’s office did not appeal or otherwise challenge the decision.