Eidelman discusses unprecedented raid of nation’s largest wholesaler

Eidelman discusses unprecedented raid of nation’s largest wholesaler

"Ryan Specialty raids CRC staff", BusinessInsurance.com

May 9, 2010

Gary B. Eidelman, vice chair of the firm’s Business and Finance Department, was quoted in a May 9, 2010 article that appeared on BusinessInsurance.com. The article discusses the lawsuits that have ensued following the hit CRC Insurance Services Inc. took when it lost nearly 10 percent of its workforce to Patrick G. Ryan’s new wholesale venture, R.T. Specialty of Illinois. Ryan Specialty first filed suit against CRC in Cook County Circuit Court in Chicago on May 4 seeking a declaration that restrictions in its employment agreements are unlawful and contrary to public policy. Following that, CRC filed a motion in circuit court in Alabama seeking a temporary restraining order and preliminary injunction accusing defendants of soliciting CRC employees, stealing customer relationships and causing CRC employees to violate their contracts. It then filed a second suit against the defendants accusing them of breach of fiduciary duty, intentional interference with contracts, unjust enrichment and conspiracy.

Eidelman said, “I’ve seen and dealt with raids of 25 or 30 employees, but never 100 employees. I think more significant is the percent this is of the (total workforce)…the sheer number of people and geographic scope…it’s somewhat remarkable.”