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Insurance Claims professional presents articles and videos on insurance, insurance Claims and insurance law for insurance Claims adjusters, insurance professionals and insurance lawyers who wish to improve their skills and knowledge. Presented by an internationally recognized expert and author.
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September 19, 2025
Acquittal is Only One Part of a Malicious Prosecution Action

Lawyer Acquitted from Fraud Charges Sues Prosecutor & Insurer Who Reported Her

Post 5192

See the full video at https://rumble.com/v6z698a-acquittal-is-only-one-part-of-a-malicious-prosecution-action.html and at https://youtu.be/XOVL8CG6gv4, and at https://zalma.com/blog plus more than 5150 posts.

Probable Cause for Arrest Eliminates Claim of Malicious Prosecution

In Leslie Casaubon v. Texas Mutual Insurance Company and Donna R. Crosby, Travis County District Attorney, No. 1:19-CV-617-RP, United States District Court, W.D. Texas, Austin Division (September 12, 2025) Texas Mutual Insurance Company (“Texas Mutual”) and Donna R. Crosby’s (“Crosby”) (together, “Defendants”) moved to dismiss the suit filed by Leslie Casaubon.

BACKGROUND

Leslie Casaubon, a workers’ compensation attorney, who brought claims against Texas Mutual Insurance Company and Donna R. Crosby, a Travis County District Attorney. Casaubon alleged that Texas Mutual and Crosby conspired to bring false charges of insurance fraud against her due to her success in obtaining favorable decisions against Texas Mutual.

Defendants secured two grand jury indictments against Casaubon for insurance fraud, for which Casaubon alleges Crosby used false or misleading evidence. Casaubon was ultimately acquitted of all charges by a jury .

LEGAL FINDINGS

The court dismissed Casaubon’s claims against Crosby for false arrest, defamation, tortious interference, and conspiracy without prejudice. Crosby’s motion was denied as to Casaubon’s malicious prosecution claim and Section 1983 claim to the extent Crosby is not protected by immunity .

Casaubon’s claims against Texas Mutual for malicious prosecution, false arrest, tortious interference, and conspiracy were dismissed without prejudice. Texas Mutual’s motion was denied as to Casaubon’s defamation claim. The court found that Casaubon sufficiently alleged her defamation claim against Texas Mutual, but not against Crosby.

The court concluded that Casaubon failed to state a claim against Crosby for defamation as she did not identify any specific false statement Crosby made. The court found that Casaubon failed to state a claim for malicious prosecution against Texas Mutual as she did not plausibly allege that Texas Mutual initiated or procured her prosecution.

DISCUSSION

Immunity – Texas Mutual’s Immunity

As a threshold matter, Texas Mutual asserts it is entitled to immunity for its actions that give rise to Plaintiff s claims. Under Texas law, insurers must report suspected fraudulent activity and are “not liable in a civil action . . . and a civil action may not be brought . . ., for furnishing information relating to a suspected, anticipated, or completed fraud insurance act.” Tex. Ins. Code Ann. § 701.052(a) (West). Further, Texas has specifically granted Texas Mutual immunity for “identifying or referring a person for investigation of or prosecution for a possible administrative violation or criminal offense.”

CROSBY’S IMMUNITY

Despite relying on sovereign immunity, Crosby opens her motion by observing that Plaintiff sues Crosby, presumably in her individual capacity only. As Crosby interprets Plaintiff’s state-law torts to be against Crosby in her individual capacity, sovereign immunity does not apply.

Crosby argued Plaintiff must satisfy Rule 9’s requirement of pleading with particularity Plaintiff alleges Crosby intentionally presented false evidence to the grand juries. An allegation that misleading and fabricated evidence was presented to the grand jury is a serious charge, and if properly pleaded, could state an actionable wrong if the Defendants knowingly or with reckless disregard for the truth presented false evidence to the grand jury. Crosby argues Plaintiff fails to plead the “who, what, when, where, and how” of the alleged fraud because Plaintiff does not specify any particular statements made or proffered by Crosby or explain why they were fraudulent.” The Court agreed that Plaintiff failed to identify the allegedly false evidence Crosby presented to the grand juries or explain why it was indeed false. Plaintiff failed to plead with particularity the allegedly false evidence before the grand juries.

Against Texas Mutual, the Court found Plaintiff fails to state a claim for malicious prosecution, false arrest, tortious interference, and conspiracy, but succeeds in stating her claim for defamation. Against Crosby, Plaintiff fails to state a claim for false arrest, tortious interference, conspiracy, and defamation.

MALICIOUS PROSECUTION

Crosby and the grand juries’ roles in initiating and procuring Plaintiff’s prosecution was left to both Crosby and two grand juries after Texas Mutual reported Plaintiff. Because a person is not liable for merely aiding or cooperating in causing a criminal prosecution the Court found Plaintiff failed to state a claim against Texas Mutual for malicious prosecution.

FALSE ARREST

To sufficiently state a claim for false arrest, Plaintiff must show her arrest was made without authority of law. Because Plaintiff was arrested following her indictment, there was probable cause for her arrest, meaning her arrest was not made without authority of law. Therefore, Plaintiff’s claims for false arrest against Texas Mutual and Crosby were dismissed.

TORTIOUS INTERFERENCE

Plaintiff alleges that as a result of Defendants’ actions, clients of her workers’ compensation practice terminated their contracts with her. The Court dismissed Plaintiff’s tortious interference claims against Texas Mutual and Crosby.

DEFAMATION

Finally, the Court found Plaintiff sufficiently alleged her defamation claim against Texas Mutual, but not against Crosby. Accordingly, the Court finds Plaintiff stated a claim against Texas Mutual for defamation.

Plaintiff failed to state a claim against Crosby for defamation. Plaintiff vaguely alleged Crosby’s entire prosecution of her was defamatory, but such allegations are too broad and conclusory to survive a 12(b)(6) motion.

ZALMA OPINION

In the United States reporting a person to prosecutors for a crime is privileged unless made with malice. In this case the charges went to a grand jury that issued an indictment that established probable cause for arrest. That she was acquitted established only that the state failed to prove her claims of malicious prosecution and other torts beyond a reasonable doubt. She may attempt to prove that Texas Mutual defamed her. Note, truth is a perfect defense to a defamation action and the fact that a grand jury issued an indictment indicates that the reports Texas Mutual were truthful.

(c) 2025 Barry Zalma & ClaimSchool, Inc.

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00:09:11
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October 08, 2025
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Insured May Intervene to Assert Bad Faith Claim Not Assigned

Post 5203

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Judge Requires Conflict Between Different District Courts in Louisiana Requires Conflict to be Resolved on Appeal

In Allstate Construction, Inc. v. Ohio Security Insurance Company, Civil Action No. 23-01295-BAJ-SDJ, United States District Court, M.D. Louisiana (September 30, 2025) Vina Cleaners, the insured, assigned its claim against Ohio Security to Allstate Construction but did not assign its rights to sue for the tort of bad faith so it intervened in Allstate Construction’s suit.

Background and Procedural History:

In an insurance dispute following damage caused by Hurricane Ida to Vina Cleaners’ property. Vina Cleaners was insured under a commercial policy with the Defendant, Ohio Security Insurance Company. Vina Cleaners assigned its rights ...

00:07:47
October 07, 2025
Bankruptcy Court Dealt With a Judgment for Falsely Causing an Arrest

Willful and Malicious Injury by the Debtor to Another Entity is Nondischargeable

Intentional Conduct Causing Injury not Dischargeable in Bankruptcy

Post 5202

See the full video at and at and at https://zalma.com/blog plus more than 5200 posts.

In In re Niko T. Irizarry, Mark Riley v. Niko T. Irizarry, No. 2:24-bk-01261-FMD, Adv. No. 2:24-ap-00035-FMD, United States Bankruptcy Court, M.D. Florida, Fort Myers Division (September 30, 2025) established that fraudulent conduct is not dischargeable in Bankruptcy.

Background and Allegations:

Plaintiff Mark Riley filed a lawsuit against Defendant Niko Irizarry in federal district court, alleging claims for civil conspiracy under 42 U.S.C. § 1983, malicious prosecution, violation of his Fourteenth Amendment rights, common law false imprisonment or arrest, and intentional infliction of emotional distress. Riley’s claims are based on allegations with...

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October 06, 2025
No Coverage for UIM if not Purchased

Claim Insurer Defrauded Insured Needs Evidentiary Allegations

Post 5201

Read the full article at https://www.linkedin.com/pulse/coverage-uim-purchased-barry-zalma-esq-cfe-hekvc, see the full video at and at and at https://zalma.com/blog plus more than 5200 posts.

It Doesn’t Pay to Accuse an Insurer of Fraud Without Evidence

In Yarisleidy Suarez Rodriguez v. Safeco Insurance Company Of America, Civil Action No. 3:25-CV-00154-GNS, United States District Court, W.D. Kentucky, Louisville Division (September 30, 2025) an insured accused her insurer for fraud in not honoring underinsured motorist coverage.

Case Background:

Plaintiff Yarisleidy Suarez Rodriguez (the Insured) filed a claim for underinsured motorist (UIM) benefits with Defendant Safeco Insurance Company of Illinois, which was denied. Rodriguez alleged that her policy included UIM coverage, which Safeco fraudulently removed without her knowledge.
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September 09, 2025
The Dishonest Chiropractor/Physician

How a Need for Profit Led Health Care Providers to Crime
Post 5185
Posted on September 8, 2025 by Barry Zalma

See the full video at https://lnkd.in/gePN7rjm and at https://lnkd.in/gzPwr-9q

This is a Fictionalized True Crime Story of Insurance Fraud from an Expert who explains why Insurance Fraud is a “Heads I Win, Tails You Lose” situation for Insurers.

The Dishonest Chiropractor/Physician

How a Need for Profit Led Health Care Providers to Crime

See the full video at and at

This is a Fictionalized True Crime Story of Insurance Fraud from an Expert who explains why Insurance Fraud is a “Heads I Win, Tails You Lose” situation for Insurers. The story is designed to help to Understand How Insurance Fraud in America is Costing Everyone who Buys Insurance Thousands of Dollars Every year and Why Insurance Fraud is Safer and More Profitable for the ­­­Perpetrators than any Other Crime.

How Elderly Doctors Fund their ...

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September 08, 2025
The Dishonest Chiropractor/Physician

How a Need for Profit Led Health Care Providers to Crime
Post 5185
Posted on September 8, 2025 by Barry Zalma

See the full video at https://lnkd.in/gePN7rjm and at https://lnkd.in/gzPwr-9q

This is a Fictionalized True Crime Story of Insurance Fraud from an Expert who explains why Insurance Fraud is a “Heads I Win, Tails You Lose” situation for Insurers.

The Dishonest Chiropractor/Physician

How a Need for Profit Led Health Care Providers to Crime

See the full video at and at

This is a Fictionalized True Crime Story of Insurance Fraud from an Expert who explains why Insurance Fraud is a “Heads I Win, Tails You Lose” situation for Insurers. The story is designed to help to Understand How Insurance Fraud in America is Costing Everyone who Buys Insurance Thousands of Dollars Every year and Why Insurance Fraud is Safer and More Profitable for the ­­­Perpetrators than any Other Crime.

How Elderly Doctors Fund their ...

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September 03, 2025

Barry Zalma: Insurance Claims Expert Witness
Posted on September 3, 2025 by Barry Zalma
The Need for a Claims Handling Expert to Defend or Prove a Tort of Bad Faith Suit

© 2025 Barry Zalma, Esq., CFE

When I finished my three year enlistment in the US Army as a Special Agent of US Army Intelligence in 1967, I sought employment where I could use the investigative skills I learned in the Army. After some searching I was hired as a claims trainee by the Fireman’s Fund American Insurance Company. For five years, while attending law school at night while working full time as an insurance adjuster I became familiar with every aspect of the commercial insurance industry.

On January 2, 1972 I was admitted to the California Bar. I practiced law, specializing in insurance claims, insurance coverage and defense of claims against people insured and defense of insurance companies sued for breach of contract and breach of the implied covenant of good faith and fair dealing. After 45 years as an active lawyer, I asked that my license to practice law be declared inactive ...

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