The right ingredients for complex litigation in Louisiana.

We previously posted discussion relating to the “LouisianaDirect Action Statute” which was disembodied in LSA—R.S. 22:1269,effective August 1, 2024. Click here to review our prior analysis. Previously,the law provided a claimant with a right of action against an insurancecarrier. But the amendment ended that right of action except for specificallynamed circumstances. The primary changes include a prohibition from naming theinsurance carrier directly (absent certain exceptions) and preventing thedisclosure of insurance coverage to the jury unless the Louisiana Code ofevidence requires it.

‍

Sincethe law became effective, courts have answered questions regarding theretroactivity of the statute. Recent decisions hold that the 2024 amendment toLSA—R.S. 22:1269 is procedural and applies retroactively, unless doing so woulddisturb a litigant’s vested rights.*

TheLouisiana First Circuit recently outlined a circumstance where the claimantswere allowed to proceed with a claim against the tortfeasor and the insurer. InMunson et al v. Heniff Transportation Systems LLC et al, on remand, theCourt rejected the insurers’ argument that an amended petition which named onlythe carrier was prohibited, absent proof that one of the narrow exceptions inLSA—R.S. 22:1269 was established.^  The Court found that because theamending petition naming the carrier occurred before the 2024 amendment, theplaintiffs had a vested right of action against the carrier which “cannot bedisturbed.” Thus, the Court denied the carrier’s exception of no right ofaction and allowed the plaintiffs to proceed directly against the carrier. The Court noted that if the claim was timely filed against the tortfeasorand the insurer, the right of direct action continued, regardless of whetherthe tortfeasor is thereafter dismissed, citing Soileau v Smith True Value& Rental.**

Althoughnot discussed in Munson, collateral issues arise when Louisiana’s uniqueGasquet settlement is considered, i.e., the claimant settles with theinsured while reserving rights against all valid and collectable insurance.This concept was specifically authorized in LSA—R.S. 22:1269.  Can thecarrier be named by amended pleadings after such a settlement?

Thenatural consequence of the Court’s analysis in Munson suggests that ifan action was timely “brought” against the tortfeasor and the carrier prior toAugust 1, 2024, then the right of direct action against the carrier wouldpersist even in the context of a Gasquet settlement. On the contrary, ifthe action was not brought against the carrier prior to August 1, 2024, itstands to reason that a claimant could not now amend to name the carrierfollowing such a settlement and would have to proceed against the insured inthe status of nominal defendant.

References:

* Avrieas Next Friend of A.A. v. Ascot Specialty Ins., 2025- 1029 (La. App. I Cir.5/ 20/26), --- So.3d ----,  2026 WL1429934 *4-5.

^ 2025-0022and 2025-0085 (La. App. 1 Cir. 9/22/26).

** 2012-1711(La. 6/28/13), 144 So. 3^rd 771, 778-79.

‍

Keogh Cox is proud to have been named in the 2027 edition of Best Law Firms® as a Tier 1 firm in Baton Rouge in four practice areas: Mass Tort Litigation/Class Actions – Defendants, Personal Injury Litigation –Defendants, Professional Malpractice Law-Defendants, and Workers’ Compensation Law-Employers.

‍

Keogh Cox is proud to recognize our ten attorneys who havebeen selected to the 2027 Louisiana Super Lawyers and Rising Stars® lists.

Our seven attorneys named to the 2027 Louisiana SuperLawyers® list are:

• John P. Wolff, III – Civil Litigation: Defense
• Andrew Blanchfield - Professional Liability: Defense
• Kirk L. Landry – Workers’ Compensation
• Collin J. LeBlanc – General Litigation
• Christopher K. Jones – Class Action
• Mary Anne Wolf – Construction Litigation
• Tori S. Bowling – General Litigation

Our three attorneys named to the 2027 Louisiana Rising Stars® list are:

• Sydnee D. Menou –  Insurance Coverage
• Cole C. Frazier –  Personal Injury General: Defense
• Brandi A. Barze – Civil Litigation: Defense

Please help us congratulate these attorneys on their amazing accomplishments!