Runaway defendant case leads to $2.75M insurance payout
Tenants in a class-action lawsuit secured a $2.75 million payout from insurance companies after the defendant fled the country to avoid a $62 million judgment.Summary
A class-action lawsuit against apartment owner KM-T.E.H. Realty 8 LLC and its manager, Michael Fein, resulted in a $62 million judgment for tenants of Ruskin Place apartments in Kansas City due to uninhabitable living conditions and emotional distress. However, Fein liquidated assets and fled to Israel, evading payment. Attorney Gregory Leyh pursued the judgment by registering it in multiple states and ultimately filing an equitable garnishment claim against the defendant’s insurance companies. This effort led to a $2.75 million settlement with Colony Insurance Company, Starstone Specialty Insurance Company, and Liberty Insurance Underwriters. Leyh emphasized the importance of holding those accountable who harm vulnerable tenants, and settlements with other related entities are still ongoing. The defendant’s attorney, Clay Crawford, confirmed the resolution of the matter for their clients but offered no further comment.
(Source：Missouri Lawyers Media)