LM Insurance v. ACEO, Inc.

MEMORANDUM OPINION AND ORDER

JEFFREY COLE, United States Magistrate Judge.

LM Insurance Co. (“LM”), has sued defendant, ACEO, Inc. (“ACEO”), and others, including Messrs. Hombs and Jatho, over what LM alleges are fraudulent misrepresentations the defendants made in ACEO’s application for insurance.1 The policy in question covered workers’ compensation claims and to determine the risk involved-and the corresponding premium-LM had to ascertain ACEO’s full payroll exposure. In brief, LM claims that ACEO misrepresented what type of business it was (saying it was a temporary staffing company rather…