You know you have become a public commodity when you have your own Wikipedia entry, as the Rigsby sisters of Katrina claims adjusting fame do. It’s a pretty good and thorough entry too. I looked it up because of this story by Anita Lee of the Sun Herald about the Rigsby sisters, Cori and Kerri, who have been hailed by some as whistleblowers, and sued by their employer, E.A. Renfroe, Inc., for taking State Farm claims adjusting documents from Renfroe and giving them to Dickie Scruggs, an attorney who represents hundreds of Katrina plaintiffs.
Renfroe is an independent company that was hired by State Farm to do claims adjusting, including in Katrina cases. The sisters took copies thousands of documents they claim show that State Farm engaged in fraudulent claims adjusting. They then gave these documents to Scruggs, who also made the sisters his consultants. The two had confidentiality and non-disclosure agreements with Renfroe, which sued them for breach and injunctive relief in the U.S. District Court for the Northern District of Alabama. Here’s a pdf of the amended complaint.
The court granted Renfroe’s request for a preliminary injunction, and required the sisters and Scruggs to return all copies of the documents to Renfroe. However, Scruggs apparently sent one batch of materials to Mississippi Attorney General Jim Hood, in response to Hood’s request for them that came after the court’s order. The court then granted Renfroe’s request for an order requiring Scruggs and the sisters to show cause why they should not be held in contempt. Scruggs and the sisters were ordered to file their positions on the matter with the court, which they did, and Renfroe responded to the briefs. The court denied a motion by the sisters to dismiss the case or join State Farm as a party, and rescheduled the show cause hearing from February 27 to March 21. This is going to be a fine hearing to watch.
Because you might be interested, here are pdfs of some other relevant stuff in the case:
The court’s January 19 memorandum opinion granting Renfroe’s request for a show cause hearing.
Scruggs’ brief in response to the court.
The brief of the Rigsby sisters in response to the court.
Now, even if you don’t read these, one thing you don’t want to miss is the nasty letter Scruggs sent to State Farm, claiming it reneged on a deal to get the Renfroe case dismissed as part of a larger settlement of Katrina cases and claims. State Farm sent a letter back saying no such deal existed and pointing out State Farm is not a party to the case and does not control Renfroe.