Lawsuit Alleges UPS Engaged In Fraud Over Package Insurance

A lawyer representing customers of United Parcel Service has sued the package carrier, accusing it of insurance fraud.

The lawsuit seeks $14 billion in compensatory damages for about 20 customers in four states who bought package insurance over the past 16 years. It was filed in mid-November in Montgomery County Common Pleas Court in Dayton, Ohio.

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If a judge approves it as a class-action lawsuit, damages sought would triple to $42 billion, said James Swaim, the attorney in Dayton representing the plaintiffs.

UPS spokesman Norman Black dismissed the legal action as “totally without merit” and said the company would vigorously contest the case.



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