M&A Deals Are Powerful Attractors Of Lawsuits

More than 90 percent of 2012 deals attracted at least one lawsuit, and the average was about five, according to one academic study. The study looked only at larger deals, but an executive with an insurance intermediary, analyzing the study findings in this blog post, suggests they likely extend to smaller deals, and that the high rate of M&A-related litigation will be used by D&O insurance carriers to justify rate increases and the inclusion of separate M&A-related claim retentions.