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QUEENSWAY FINAN. HOLDINGS v. COTTON & ALLEN

No. 2004-SC-000254-DG.

237 S.W.3d 141 (2007)

QUEENSWAY FINANCIAL HOLDINGS LTD.; Paradigm Acquisitions Corporation; and Paradigm Insurance Company, Appellants v. COTTON & ALLEN, P.S.C., Appellee.

Supreme Court of Kentucky.

November 1, 2007.

Attorney(s) appearing for the Case

A. Courtney Guild, Jr., Edward L. Schoenbaechler, Hall, Render, Killian, Heath & Lyman, P.S.C., Louisville, KY, Counsel for Appellants.

Mark S. Fenzel, Dana Lucas Collins, Middleton Reutlinger, Louisville, KY, Counsel for Appellees.

Opinion of the Court by Justice NOBLE.

Queensway Financial Holdings, Ltd., and its subsidiaries filed a professional malpractice suit against Cotton & Allen, P.S.C., for alleged breach of contract and negligence related to audits of the financial statements of an insurance company to be bought by Queensway. A little over a year after the purchase, the Indiana Department of Insurance ordered a significant increase in the loss reserves of the

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