Insurance Carrier Sought Sanctions Over Lawsuit

A dental insurer asked a federal judge to sanction a dental practice for a years-long junk fax class action.

Updated on Oct. 8, 2026 in Financial Crime

Insurance Carrier Sought Sanctions Over Lawsuit

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A Florida-based dental insurance carrier filed for sanctions in a Michigan federal court against a dental practice. The insurer claims the practice pursued a frivolous junk fax class action lawsuit for years.

Why it matters

The insurance carrier argues that the class action was baseless from the start. They are seeking legal penalties for the significant defense costs accrued during the litigation.

The insurance carrier officially petitioned a federal judge on October 8, 2026, to impose sanctions against the dental practice and its legal counsel. Defense costs for the carrier have reached millions of dollars while the legal battle remains ongoing.

The players

Bock Hatch & Oppenheim LLC

This firm is one of the legal teams representing the dental practice in the federal class action case.

Shenkan Injury Lawyers

This law firm serves as counsel for the dental practice currently defending against the sanctions request.

The details

The insurance carrier alleges that the class action lawsuit targeting their business was a frivolous junk fax action. The dental practice is currently represented by counsel from Bock Hatch & Oppenheim LLC and Shenkan Injury Lawyers.

Timeline

  1. October 8, 2026: The insurance carrier requested sanctions in federal court.

Legal Context

This case highlights the increasing pushback from corporate defendants against litigation filed under the Telephone Consumer Protection Act's junk fax provisions. It reflects a broader trend of companies seeking court-ordered sanctions to curb what they characterize as frivolous, high-cost class action suits.

The legal filing underscores the high costs associated with class action litigation, which can influence how insurance companies manage risk and operational budgets. Residents should note that such federal court battles may affect the future of insurance policies and premium cost structures.

The takeaway

This case serves as a reminder of the significant financial stakes involved in protracted class action litigation. Businesses and legal teams are increasingly prepared to fight back in court when they believe a lawsuit lacks a factual basis.

Further reading

Learn more about the ongoing proceedings in the Financial Crime section.

Source note: This article includes information reported by Law360.

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Should courts impose financial sanctions on plaintiffs who bring lawsuits deemed meritless by defendants?