A Houston businessman and his companies have sued Gordon Rees Scully Mansukhani and Houston partner Barry Flynn, alleging they mishandled a lawsuit that ended in a $44.5 million adverse judgment that forced them to settle for substantially more than the $3 million limits set by their two insurance policies.

Jerry Stoller, and his companies—Stoller Group, Stoller Enterprises, and Stoller USA—allege that after a judge in Michigan entered the judgment against them in the underlying suit, their insurance company, AIG, sought a declaratory judgment that it owed no duty to indemnify them under two policies. As a result, the plaintiffs allege they were “forced” to settle the suit at their own cost with no contribution from AIG. They also allege they lost business because of the “negative publicity” resulting from the adverse jury verdict and final judgment.

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