Coventry Responds to Baseless Lawsuit by Abacus Global Management, Inc.
Coventry has responded to a lawsuit filed by Abacus Global Management (NASDAQ: ABL), characterizing it as a diversionary tactic. Coventry's Chairman Alan Buerger maintains that Lapetus, in which Abacus holds a minority stake, systematically underestimates life expectancies, potentially impacting investor returns.
The response highlights apparent contradictions between Abacus's lawsuit claims and their SEC filings. While Abacus's complaint states they don't rely on Lapetus's life expectancy estimates for policy valuations, their SEC documents indicate otherwise, including statements about using Lapetus as their "primary life expectancy provider" for their new fund.
Coventry also denies any connection to Morpheus Research, which previously published a short report on Abacus, and maintains confidence in their position regarding the lawsuit's lack of merit.
Coventry ha risposto a una causa intentata da Abacus Global Management (NASDAQ: ABL), definendola una tattica di distrazione. Il presidente di Coventry, Alan Buerger, sostiene che Lapetus, in cui Abacus detiene una partecipazione minoritaria, sottostimi sistematicamente le aspettative di vita, con potenziali ripercussioni sui rendimenti degli investitori.
La risposta mette in evidenza apparenti contraddizioni tra le affermazioni della causa di Abacus e i loro documenti SEC. Mentre il reclamo di Abacus dichiara di non basarsi sulle stime di aspettativa di vita di Lapetus per la valutazione delle polizze, i loro documenti SEC indicano il contrario, includendo dichiarazioni sull'uso di Lapetus come "fornitore principale di aspettativa di vita" per il loro nuovo fondo.
Coventry nega inoltre qualsiasi collegamento con Morpheus Research, che in precedenza ha pubblicato un breve rapporto su Abacus, e conferma la propria fiducia nella posizione riguardo alla mancanza di fondamento della causa.
Coventry ha respondido a una demanda presentada por Abacus Global Management (NASDAQ: ABL), calificándola como una táctica de distracción. El presidente de Coventry, Alan Buerger, sostiene que Lapetus, en la que Abacus tiene una participación minoritaria, subestima sistemáticamente las expectativas de vida, lo que podría afectar los rendimientos de los inversores.
La respuesta destaca aparentes contradicciones entre las afirmaciones de la demanda de Abacus y sus presentaciones ante la SEC. Mientras que la demanda de Abacus indica que no se basan en las estimaciones de expectativa de vida de Lapetus para la valoración de pólizas, sus documentos ante la SEC sugieren lo contrario, incluyendo declaraciones sobre el uso de Lapetus como su "proveedor principal de expectativa de vida" para su nuevo fondo.
Coventry también niega cualquier relación con Morpheus Research, que anteriormente publicó un informe corto sobre Abacus, y mantiene su confianza en su posición respecto a la falta de mérito de la demanda.
코벤트리는 Abacus Global Management (NASDAQ: ABL)가 제기한 소송에 대해 이를 주의를 돌리기 위한 전략으로 규정하며 대응했다. 코벤트리의 회장 앨런 뷰어거는 Abacus가 소수 지분을 보유한 Lapetus가 생명 기대 수명을 체계적으로 과소평가하여 투자자 수익에 영향을 미칠 수 있다고 주장한다.
응답서에서는 Abacus의 소송 주장과 그들의 SEC 제출 문서 간에 명백한 모순이 있음을 강조한다. Abacus의 소송 내용은 Lapetus의 생명 기대 수명 추정을 보험 평가에 의존하지 않는다고 하지만, SEC 문서에서는 새 펀드를 위해 Lapetus를 "주요 생명 기대 수명 제공자"로 사용한다고 명시하고 있다.
코벤트리는 또한 이전에 Abacus에 관한 짧은 보고서를 발표한 Morpheus Research와의 연관성을 부인하며, 소송의 근거 부족에 대해 자신감을 유지하고 있다.
Coventry a répondu à une plainte déposée par Abacus Global Management (NASDAQ: ABL), la qualifiant de tactique de diversion. Le président de Coventry, Alan Buerger, affirme que Lapetus, dans lequel Abacus détient une participation minoritaire, sous-estime systématiquement les espérances de vie, ce qui pourrait affecter les rendements des investisseurs.
La réponse souligne des contradictions apparentes entre les allégations de la plainte d’Abacus et leurs dépôts auprès de la SEC. Alors que la plainte d’Abacus indique qu’ils ne se basent pas sur les estimations d’espérance de vie de Lapetus pour l’évaluation des polices, leurs documents SEC indiquent le contraire, incluant des déclarations sur l’utilisation de Lapetus comme « fournisseur principal d’espérance de vie » pour leur nouveau fonds.
Coventry nie également tout lien avec Morpheus Research, qui avait précédemment publié un court rapport sur Abacus, et maintient sa confiance dans sa position quant au manque de fondement de la plainte.
Coventry hat auf eine von Abacus Global Management (NASDAQ: ABL) eingereichte Klage reagiert und diese als Ablenkungsmanöver bezeichnet. Coventries Vorsitzender Alan Buerger erklärt, dass Lapetus, an dem Abacus eine Minderheitsbeteiligung hält, systematisch die Lebenserwartungen unterschätzt, was potenziell die Renditen der Investoren beeinträchtigen könnte.
Die Antwort hebt offensichtliche Widersprüche zwischen den Klagebehauptungen von Abacus und deren SEC-Einreichungen hervor. Während Abacus in der Klage angibt, sich nicht auf Lapetus’ Lebenserwartungsschätzungen für die Bewertung von Policen zu stützen, weisen ihre SEC-Dokumente das Gegenteil aus, einschließlich Aussagen darüber, Lapetus als ihren „primären Anbieter von Lebenserwartungen“ für ihren neuen Fonds zu nutzen.
Coventry bestreitet zudem jegliche Verbindung zu Morpheus Research, die zuvor einen kurzen Bericht über Abacus veröffentlicht hatten, und bekräftigt ihr Vertrauen in ihre Position, dass die Klage unbegründet ist.
- None.
- Coventry alleges Lapetus systematically underestimates life expectancies, potentially threatening investor returns
- Apparent contradictions between Abacus's lawsuit claims and their SEC filings regarding valuation methods
- Legal dispute could create uncertainty for Abacus shareholders
Insights
Abacus faces serious legal challenge alleging inconsistencies between SEC filings and lawsuit claims regarding policy valuation methods.
This press release details Coventry's response to a lawsuit filed by Abacus Global Management (NASDAQ: ABL), highlighting potentially significant contradictions that could create regulatory exposure for Abacus. The core dispute centers on how Abacus values life insurance policies in the secondary market and whether it has misrepresented its methodologies.
The most concerning element is Coventry's claim that Abacus has made contradictory statements between its lawsuit and SEC filings. While Abacus allegedly claims in its lawsuit that it doesn't rely on Lapetus's life expectancy estimates for policy valuations, Coventry directly quotes Abacus's SEC filings stating it "utilizes a multitude of inputs to determine the fair value of the policies it holds, which may include life expectancy reports generated by" Lapetus.
Even more damaging, Coventry references a registration statement for Abacus's new fund offering that explicitly states Lapetus will be used as its "primary life expectancy provider" for policy valuation. If substantiated, these contradictions could constitute material misrepresentations to either the court or to investors.
The underlying issue - whether Lapetus systematically underestimates life expectancies - is also critical. In the life settlement industry, accuracy of life expectancy estimates directly impacts returns. If policies pay out later than estimated, investor returns would be lower than projected, potentially affecting Abacus's profitability and creating liability exposure.
This dispute introduces significant uncertainty regarding Abacus's valuation practices, regulatory compliance, and potential legal liabilities - all fundamental concerns for investors in a business where transparency and accurate financial reporting are essential.
FORT WASHINGTON, Pa. , July 2, 2025 /PRNewswire/ -- Coventry, the leader and creator of the secondary market for life insurance, today released the following statement:
"Abacus's (NASDAQ: ABL) lawsuit is its latest misdirection and a transparent ploy designed to delay accountability and deflect attention from serious problems of Abacus's own making," said Alan Buerger, Coventry's Chairman.
Coventry continues to believe that Lapetus systematically underestimates life expectancies, which directly threatens investor returns. This belief is validated by expert analysis that concluded exactly that. The studies are available at https://www.coventry.com/research/.
Abacus's complaint claims that none of its valuations for policies it owns depend on Lapetus's life expectancy estimates. The complaint also states that Abacus does not use a life expectancy valuation model to value the policies on its balance sheet, instead using "market-based fair value accounting."
These claims contradict numerous statements Abacus has made in SEC filings, including that it "utilizes a multitude of inputs to determine the fair value of the policies it holds, which may include life expectancy reports generated by a company in which [Abacus] holds a minority ownership interest", i.e., Lapetus, and that "[t]he valuation of life insurance policies will vary depending on the dates of the related mortality estimates and the medical underwriting firms that provide supporting information."
Similarly, a registration statement for Abacus's new fund offering discloses that it will use Lapetus as its "primary life expectancy provider" and that Lapetus "provides the most conservative (i.e., longest) life expectancy predictions." Contrary to what Abacus claims in its complaint, the registration statement is clear that "following acquisition" of a life insurance policy, the fund "expects to utilize Lapetus Solutions as its primary life expectancy provider" with respect to policy valuation. Abacus's SEC filings belie the notion that it does not use life expectancies to value policies post-acquisition.
Finally, and contrary to Abacus's claims, Coventry had never heard of Morpheus Research before Morpheus published its initial short report on Abacus.
Coventry is confident in the strength and integrity of its position and equally confident that Abacus's lawsuit has no merit.
About Coventry
Coventry is the leader and creator of the secondary market for life insurance. For more than 20 years, we have been driving the industry forward and expanding opportunities for life insurance policyowners. Coventry's deep experience combined with a fierce commitment to consumer rights makes Coventry the clear market leader, a position we use to raise industry standards and expand consumer choice. To date, we have delivered more than
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SOURCE Coventry
FAQ
What is the lawsuit between Coventry and Abacus Global Management (NASDAQ: ABL) about?
What contradictions does Coventry point out in Abacus's (NASDAQ: ABL) SEC filings?
How does Coventry respond to Abacus's (NASDAQ: ABL) claims about Morpheus Research?
What evidence does Coventry provide to support their claims about Lapetus's life expectancy estimates?
