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L.A.-area fire victims demand resignation of state’s top insurance regulator

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L.A.-area fire victims demand resignation of state’s top insurance regulator

Victims of the January wildfires in Los Angeles County urged Gov. Gavin Newsom on Thursday to call for the resignation of California Insurance Commissioner Ricardo Lara, saying the regulator has allowed insurers to run roughshod over them.

Lara, an independently elected state official, was accused at an Altadena news conference of being too closely aligned with the interests of insurers who homeowners say have delayed, denied and lowballed claims, forcing victims to tap retirement accounts and max out credit cards as they fight for their benefits.

“Gov. Newsom, we need your help. Your Palisades constituents have your back. Now is the time for you to have ours,” said Jill Spivack, 59, a Pacific Palisades resident whose home of 25 years burned down but who has yet to start rebuilding.

“You made promises when the cameras were rolling,” Spivack added. “Now we need to see your actions behind those words. Commissioner Lara has proven he won’t protect consumers. Please replace him with someone who will.”

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The event, attended by several dozen Altadena and Pacific Palisades fire victims, was held by the Eaton Fire Survivors Network and attended by other groups, including the Los Angeles insurance advocacy group Consumer Watchdog, which called on Lara to resign last year.

Joy Chen, executive director of the network, cited recent surveys that found 70% of insured survivors have encountered delays and denials, while 8 in 10 Eaton and Palisades fire survivors are still displaced. The fires damaged or destroyed nearly 13,000 homes.

“We have an unprecedented housing crisis on our hands, which grew out of the insurance crisis on our hands,” Chen said. “That is why it is so urgent that Gov. Newsom act now.”

Newsom’s press office did not immediately respond to a request for comment. A spokesperson for Lara —whose term expires in 2026 — rejected any suggestion he would resign.

“The facts are Commissioner Lara has moved quickly and decisively to respond to the fires, including using every tool available to ensure wildfire survivors receive all the benefits they are entitled to under current law,” said Michael Soller, the department’s deputy commissioner of communications.

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On Saturday, Lara had posted on X, “I’m here to finish the job — and leave the next Commissioner in a stronger position than I inherited.”

To advance its goals, the Eaton network established a website — lararesign.org — where fire victims and others can send emails to the governor and Lara asking for the commissioner’s resignation and leaving comments.

Much of the anger from fire victims has been directed at State Farm General, California’s largest home insurer, which dropped tens of thousands of policyholders in recent years and has been the target of complaints about its claims handling.

Spivack, who said her home on Aderno Way has been insured by State Farm for decades, said that it has been a full-time job getting her personal property claims paid amid changing adjusters and other issues.

Meanwhile, she has been haggling with the insurer for months after getting an estimate of only $250 a square foot to rebuild her home, less than a third of the going rate.

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“At first we thought, thank goodness we have insurance. We’ve been loyal State Farm customers for 25 years,” Spivack said. “We trusted their promise to help us rebuild like a good neighbor. But what we faced instead is confusion, lowball estimates and a delay at every turn.”

Altadena resident Branislav Kecman, 64, who lost his Crescent Drive home of 12 years in the fire, said he was dropped by State Farm in July 2024 and forced onto the FAIR Plan where his coverage dropped from $1.5 million to $1 million but got more expensive.

“We really feel betrayed by our system, especially our commissioner that’s supposed to fight for our interest instead of, so to speak, being in bed with the insurance companies,” he said.

Bob Devereux, a State Farm spokesperson, said the insurer has handled more than 13,500 claims and paid almost $5 billion to January wildfire victims, with nearly 200 claim adjusters still on the ground.

“State Farm is committed to paying customers what they’re owed. We’re here every step of the way and working with elected officials to build a more sustainable insurance market in California,” he said.

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Chen and Carmen Balber, executive director of Consumer Watchdog, also accused Lara of exacerbating the state’s insurance crisis through loopholes in his Sustainable Insurance Strategy, which was backed by the governor.

The regulatory changes gave insurers concessions, including the right to charge homeowners for reinsurance, in exchange for a pledge to write more policies in fire-prone neighborhoods.

However, since the deal was announced in 2023 insurers have dropped hundreds of thousands of homeowners onto the FAIR Plan’s rolls, as The Times has reported.

Soller said the department is currently reviewing rate filings submitted by five insurers that will commit the companies “to stay and grow” in the state, and it expects more to enter the market.

Chen advocated for a new insurance commissioner to adopt a five-point plan developed by the Eaton group to improve the insurance market and oversight of insurers.

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That plan includes finishing an investigation into State Farm’s claims practices started this year by the department within 60 days — and freezing any rate hikes for the insurer until the claims issues are resolved. (Lara’s stance has been that the two issues are legally separate matters.)

Other elements of the plan include ending denials by the FAIR Plan of smoke damage claims — another issue the department is investigating — and preventing “illegal cuts’’ in temporary housing benefits while survivors rebuild.

Soller said the department is already working on the various matters raised.

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Video: The Battle for Warner Bros. Discovery

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Video: The Battle for Warner Bros. Discovery

new video loaded: The Battle for Warner Bros. Discovery

Nicole Sperling, a Times reporter who covers Hollywood and the streaming revolution, breaks down the competing bids from Netflix and Paramount to buy Warner Bros. Discovery.

By Nicole Sperling, Edward Vega, Laura Salaberry, Jon Hazell and Chris Orr

December 9, 2025

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HBO Max subscriber sues Netflix to halt merger

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HBO Max subscriber sues Netflix to halt merger

Let the legal battle begin.

On Monday, a Las Vegas-based HBO Max subscriber sued Netflix over concerns that the streamer’s plans to buy some of Warner Bros. Discovery’s assets would create an anti-competitive environment in the entertainment industry and raise subscription prices.

Netflix said last week it agreed to buy Warner Bros. Discovery’s film and TV business, its Burbank lot, HBO and the HBO Max streaming service for $27.75 a share or $72 billion. It also agreed to take on more than $10 billion of Warner Bros.’ debt, creating a deal value of $82.7 billion.

Michelle Fendelander alleges in her lawsuit that if Netflix’s deal were to go through, it would decrease competition in the subscription streaming market. She is asking the court to issue an injunction to prevent the merger from happening or issue a remedy for the anti-competitive effects.

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“American consumers — including SVOD purchasers like Plaintiff, an HBO Max subscriber — will bear the brunt of this decreased competition, paying increased prices and receiving degraded and diminished services for their money,” according to Fendelander’s lawsuit, which is seeking class-action status. The lawsuit was filed in a U.S. District Court in San Jose.

Netflix on Tuesday called the lawsuit “meritless” and “merely an attempt by the plaintiffs bar to leverage all the attention on the deal.”

The Los Gatos, Calif.,-based streamer is long seen as the winner of the subscription streaming wars, boosted by having successfully entered the streaming content space earlier than rivals and for its superior recommendation technology. By buying Warner Bros. Discovery’s assets, Netflix would gain access to more franchises and characters, including Batman, “Game of Thrones” and Harry Potter. Netflix said it plans to keep Warner Bros.’ commitments to bringing its movies to theaters.

But Fendelander and some industry observers are concerned that Netflix owning one of its streaming rivals will hurt the entertainment industry because it means less competition.

“The elimination of this rivalry is likely to reduce overall content output, diminish the diversity and quality of available content, and narrow the spectrum of creative voices appearing on major streaming platforms,” according to the lawsuit by Fendelander, who has never been a Netflix subscriber.

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Streamers over the years have steadily raised their prices, and some analysts said they would not be surprised if subscription prices continued to go up.

Netflix executives said they believe their deal to acquire WBD’s assets will benefit key stakeholders.

“It’s going to mean more options for consumers,” said Netflix Co-CEO Greg Peters on a call with investors last Friday. “It’s going to be more opportunities for creators, more value for our shareholders. Together, we’ve got the chance to bring great stories, cutting edge innovation and more choice to audiences everywhere.”

Peters also pointed out at a UBS conference on Monday that Netflix combined with the assets it is acquiring from Warner Bros. Discovery would still amount to a smaller share of U.S. TV viewing than YouTube.

Whether the deal will get over the finish line remains to be seen, although Netflix executives say they believe it will. On Monday, Paramount said it would directly appeal to shareholders to offer an alternative bid.

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Federal judge strikes down Trump’s order blocking development of wind energy

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Federal judge strikes down Trump’s order blocking development of wind energy

A federal judge on Monday struck down the Trump administration’s ban on federal permits for wind energy projects in what supporters said was an important victory for the embattled industry.

President Trump issued the ban on his first day back in office through an executive order that called for the temporary withdrawal of nearly all federal land and waters from new or renewed wind-energy leasing. The president said such leases “may lead to grave harm” including negative effects on national security, transportation and commercial interests, among other justifications.

U.S. District Judge Patti B. Saris, for the District of Massachusetts, ruled that the ban is “arbitrary and capricious and contrary to law,” and said the concern about “grave harm” was insufficient to justify the immense scope of a moratorium on all wind energy.

The challenge was brought by attorneys general in 17 states, including California, and Washington.

In it, they argued that halting federal wind permits created an “existential threat” to the wind industry that could erase billions of dollars in investments and tens of thousands of jobs.

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“A court has agreed with California and our sister states nationwide: The Trump Administration’s attempt to thwart states’ efforts to make energy more clean, reliable, and affordable for our residents is unlawful and cannot stand,” California Atty. Gen. Rob Bonta said in a statement. “The Trump Administration seems intent on raising costs on American families at every juncture — and California is equally committed to challenging every one of its illegal attempts to make life more expensive for Californians.”

At least seven major offshore wind projects were paused as a result of the federal permitting ban, according to the nonprofit Natural Resources Defense Council, plus several more that were in early phases of development.

“This ban on wind projects was illegal, as this court has now declared. The administration should use this as a wake-up call, stop its illegal actions and get out of the way of the expansion of renewable energy,” said Kit Kennedy, the council’s managing director for power, in a statement.

The lawsuit noted the president’s executive order was issued the same day as his National Energy Emergency Declaration, which encouraged domestic energy development not tied to wind and other renewables. The president has heavily supported fossil fuel production including oil, gas and coal.

In a statement to The Times, White House spokeswoman Taylor Rogers said offshore wind projects were given “unfair, preferential treatment” under the Biden administration while the rest of the energy industry was “hindered by burdensome regulations.”

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“President Trump’s day one executive order instructed agencies to review leases and permitting practices for wind projects with consideration for our country’s growing demands for reliable energy, effects on energy costs for American families, the importance of marine life and fishing industry, and the impacts on ocean currents and wind patterns,” Rogers said. “President Trump has ended Joe Biden’s war on American energy and unleashed America’s energy dominance to protect our economic and national security.”

California has vowed to stay the course on offshore wind despite the federal challenges.

The state has an ambitious goal of 25 gigawatts of floating offshore wind energy by 2045, by which point California officials say offshore wind could represent 10% to 15% of the Golden State’s energy portfolio. Five ocean leases have already been granted to energy companies off Humboldt County and Morro Bay.

In August, the Trump administration said it was cutting $679 million for “doomed” offshore wind projects, including $427 million that had been earmarked for California.

Ted Kelly, director and lead counsel of U.S. clean energy at the nonprofit Environmental Defense Fund, said obstructing the build-out of clean power is the wrong move as the country’s need for electricity is surging from data centers, industry and other demands.

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Wind, solar and battery storage offer the most affordable ways to get more reliable power on the grid, Kelly said.

“We should not be kneecapping America’s largest source of renewable power,” he said, “especially when we need more cheap, homegrown electricity.”

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