People
Michael B. Chester
Partner
- New York
Biography
Michael Chester is a distinguished advocate, specializing in counseling insurers on intricate insurance coverage issues arising out of their most high-profile and complex financial lines matters. His expertise stems from his exposure to a diverse range of complex cases, including bank failures, special purpose acquisition company (SPAC) transactions, securities class actions, private equity litigation, shareholder derivative disputes, investment advisory disputes, civil investigations and white-collar criminal prosecutions. Michael has also developed a particular expertise advising insurers on the nuanced intersection between insurance and bankruptcy laws, helping to guide his clients through these complex and sophisticated disciplines.
Michael has represented insurers’ interests in coverage disputes arising out of bankruptcy and insolvency proceedings in the United States, Bermuda, Brazil, the Cayman Islands, France, and Norway. When called upon by his clients, Michael also litigates especially complex insurance coverage disputes arising out of financial lines claims.
Michael’s career has been marked by his consistent presence working with his clients through nearly every landmark event in the financial world in the past two decades, including the Enron bankruptcy, the collapse of the subprime mortgage-backed securities market, the credit crisis, the surge in merger objection lawsuits; and most recently, the latest round of bank failures and cryptocurrency failures.
With more than twenty years of experience, Michael has been recognized by his industry peers as a Super Lawyer in the New York Metro region for the last ten consecutive years. Michael is a frequent author and sought-after presenter, regularly addressing topics of paramount concern to his clients. His insights and expertise have made him a respected industry authority, frequently quoted by industry publications such as Business Insurance.
Michael has represented insurers’ interests in coverage disputes arising out of bankruptcy and insolvency proceedings in the United States, Bermuda, Brazil, the Cayman Islands, France, and Norway. When called upon by his clients, Michael also litigates especially complex insurance coverage disputes arising out of financial lines claims.
Michael’s career has been marked by his consistent presence working with his clients through nearly every landmark event in the financial world in the past two decades, including the Enron bankruptcy, the collapse of the subprime mortgage-backed securities market, the credit crisis, the surge in merger objection lawsuits; and most recently, the latest round of bank failures and cryptocurrency failures.
With more than twenty years of experience, Michael has been recognized by his industry peers as a Super Lawyer in the New York Metro region for the last ten consecutive years. Michael is a frequent author and sought-after presenter, regularly addressing topics of paramount concern to his clients. His insights and expertise have made him a respected industry authority, frequently quoted by industry publications such as Business Insurance.
Honors
- New York Super Lawyers, 2013 - 2024
- New York Super Lawyers, Rising Stars, 2011 - 2012
Professional Associations
- Professional Liability Underwriters Society (PLUS), Member
- American Bar Association, Tort, Trial and Insurance Practice Section, Professionals' Officers' and Directors' Liability Committee, 2016-2017, Vice-Chair
Experience
experience
- Representing insurer’s interests pertaining to multiple lawsuits brought against a recently failed national bank based on allegations that the bank had been unreasonably exposed to the cryptocurrency market.
- Representing insurer’s interests with respect to a Chapter 15 bankruptcy filing and related adversary proceeding under Norwegian law involving allegations that the company’s major shareholders forced the company to undergo a corporate restructuring which was not in its best interests to shore up potential losses to the shareholders’ portfolio of credit default swap holdings.
- Representing insurer’s interests arising out of failed bank and affiliated bankrupt bank holding company, including competing demands for coverage from multiple officers and directors seeking coverage for a securities class action lawsuit, litigation commenced the bank holding company’s creditors committee, separate litigation initiated by the FDIC, and criminal prosecutions by the U.S. Attorney’s Office.
- Representing insurer’s interests with respect to alleged public offering of securities violations by insured under French law.
- Representing insurer’s interests regarding multiple lawsuits brought against bankrupt SPAC and its officers and directors by securities class action plaintiffs and a bankruptcy trustee.
- Defending multi-national insurer in insurance coverage litigation brought by an automated clearing house processor under the D&O coverage part of a private company management liability policy.
- Represented insurer’s interests after insured private equity firm tactically declared bankruptcy in the U.S. to attempt to consolidate and settle potentially adverse foreign litigation rulings brought by creditors and bankrupt portfolio companies in Brazilian bankruptcy court.
- Represented multiple insurers' interests in connection with the resolution of multiple lawsuits filed in the United States and Hong Kong concerning a private equity venture worth over $2 billion.
Publications & Presentations
- Bankruptcy Issues in Financial Lines Claims, Bespoke client presentations, June 6 and 18, 2023, Author and Presenter.
- Recent Developments Affecting Professionals’, Officers’, and Directors’ Liability Insurance, ABA-TIPS Law Journal, April 2, 2018, Co-Author.
- The Intersection of Bankruptcy and Directors' and Officers' Liability Insurance, Financier Worldwide, Apr. 2016, Author.
- Three the Hard Way: Why the D&O Insurance Market Continues to Harden, Risk Management Magazine, Aug. 1, 2013, Author.
- D&O Liability Claims Issues in 2011, Risk Management Manazine, Dec. 1, 2011, Author.
- Chinese Reverse Mergers Pushing Up D&O Liability Prices, Business Insurance Magazine, Aug. 22, 2011, Quoted in the article.
- Bad news for D&O insurers? Scandal-plagued News Corp. Faces Lawsuits, Business Insurance Magazine, July 31, 2011, Quoted in the article.
Publications
Recent Developments Affecting Professionals’, Officers’ and Directors’ Liability Insurance
04/02/2018Michael Chester co-authored an article for Volume 52-3 of the Tort Trial & Insurance Practice Law Journal. The article discusses recent noteworthy court decisions and regulatory actions affecting the potential liability and insurance coverage for a variety of professionals, including corporate directors and officers.
The Intersection of Bankruptcy and Directors' and Officers' Liability Insurance
04/01/2016Michael Chester wrote an article for the April 2016 issue of Financier Worldwide. The article examines the legal issues arising from disputes over the extent of coverage for D&O liability insurance and the added complications if a corporate bankruptcy is introduced.