The suit was initiated by the City of St. Clair Shores Police, et. at., on 11-10-16 and was later taken over by Carpenters Pension and Annuity Trust Fund, et. al., with new attorneys and a new consolidated class action complaint. On the request of Allstate, the US Court of Appeals for the 7th Circuit, the appeal court vacated the class certificate order by the district court and remanded the case back to the district court for “further proceedings in consistent with this opinion.” (Case: 19-1830, Doc: 32; Filed: 7-16-20, p. 35.)
U.S. District Judge Gettleman said he found “several deficiencies” in an expert report Allstate submitted. He on 12-21-20 certified a class of investors accusing Allstate Corp. of secretly lowering underwriting standards to boost business, after the Seventh Circuit vacated the initial certification. It means that plaintiffs could proceed with the class action suit.
Judge Gettleman partially granted Allstate’s summary judgment bid against a certified investor class action by tossing one of the securities fraud claims accusing the insurance company of secretly lowering underwriting standards to boost business. But the judge denied Allstate’s other summary judgment bid on all the lead plaintiffs’ other claims, including that the individual defendants — Thomas Wilson, CED, and Matthew Winter, President — acted with scienter (intent or knowledge of wrongdoing). The Memorandum Opinion and Order was issued on 7-26-22. It would be interested to see what happens next.