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No Second Bite at the Apple: New Emails Can’t Undo a False Application Response

The United States District Court for the Central District of California, applying California law, has held that an insurer could rescind liability insurance policies based on misrepresentations in the application, even though...more

Exercise of Personal Jurisdiction Over Nonresident Insurers in Delaware Violates Due Process Where Action Does Not Arise Out of...

The Delaware Superior Court, applying Delaware law, has held that the exercise of personal jurisdiction over two nonresident insurers would violate due process where the coverage action did not arise out of, or was not...more

Personnel Policies Exclusion Bars Coverage for Negligence Action Arising from Alleged Sexual Harassment and Assault of Insured’s...

The United States District Court for the Western District of Pennsylvania, applying Pennsylvania law, has held that a personnel policies exclusion bars coverage for an employee’s negligence action against the insured...more

Conduct Exclusions Inapplicable Absent Finding of Insured’s Dishonesty or Intent to Deceive

The United States District Court for the Southern District of California, applying California law, has held that: (i) a D&O policy’s dishonesty exclusion did not bar coverage where the judgment at issue did not include a...more

Notice of Circumstances Sent to Underwriter Does Not Constitute Notice of a Claim Under Claims-Made-and-Reported Policies

The United States District Court for the Northern District of California, applying California law, has held that an insured bank did not comply with the notice requirements in its claims-made-and-reported excess policies when...more

Insured Barred From Settling Without Insurer’s Consent Absent Breach of Duty to Defend But Insurer Must Exercise Good Faith in...

The United States District Court for the District of South Dakota, applying South Dakota law, has held that an insured healthcare system was barred from settling without its healthcare liability insurer’s consent where the...more

Invasion of Privacy Exclusion Bars D&O Coverage for BIPA Suit But EPL Coverage Potentially Applies

The United States District Court for the Central District of Illinois, applying Illinois law, has held that an invasion of privacy exclusion precluded D&O coverage for underlying suits alleging violations of the Illinois...more

Prior Knowledge Exclusion Bars Coverage for Entire Lawsuit Alleging Multiple Instances of Wrongdoing

The United States District Court for the District of Vermont has held that there is no coverage under a CGL and professional liability policy for all claims in an underlying suit brought against an insured residential care...more

Prior Knowledge Provisions Barred Coverage for Malpractice Claim Based on Pre-Policy Sanctions and Default Judgment

The Montana Supreme Court has held that there was no coverage under a lawyers professional liability policy for a client’s malpractice claim because the lawyer knew of and failed to disclose, prior to the insured law firm’s...more

No Coverage for Three Lawsuits Related to Email Not Timely Noticed; No Showing of Prejudice Required Where Notice Not As Soon As...

The United States District Court for the District of Columbia, applying District of Columbia law, has held that there is no coverage for three lawsuits filed against an insured company because the lawsuits related to an email...more

Insurer Entitled to Rescind Policy Due to Insured’s Failure to Disclose Contract Dispute and Potential Claim on Application

A California federal district court has ruled that an insurer could rescind a professional liability policy because its insured failed to disclose a customer dispute and potential claim in its application for...more

Negligent Misrepresentation Claim Not Barred By Exclusion for Dishonest Conduct

The United States District Court for the Northern District of California, applying California law, has held that a dishonesty exclusion in a D&O policy did not bar coverage for an underlying lawsuit alleging a company...more

Coverage for Stockholder Suits Not Barred By Prior Acts Exclusion or Bump-Up Provision

Judge Paul Wallace of the Delaware Superior Court has held that a bump-up provision did not operate to preclude coverage for a settlement of a Section 14(a) cause of action.  Northrop Grumman Innovation Sys., Inc. v. Zurich...more

No Coverage for Lawsuit Alleging Intentional Conduct to Circumvent Estate Plan

The United States District Court for the Northern District of Illinois, applying Illinois law, has held that a professional liability insurer had no duty to defend or indemnify an employee of its insured realty management...more

Lawsuits Concerning Same Housing Development Project Are Related Claims

The California Court of Appeal, applying California law, has held that two lawsuits arising from work performed by the same insured engineering firm on a housing development constitute related claims under the firm’s...more

Lawyer’s Multiple Acts of Negligence Constitute A Single Claim

The Missouri Court of Appeals, applying Missouri law, has held that multiple acts of negligence committed by a lawyer while representing a married couple in a lawsuit are related acts or omissions constituting a single claim...more

Professional Services Exclusion Does Not Bar Coverage for Lawsuit Alleging “Business Decisions” of Healthcare Facility

The United States District Court for the Southern District of Florida, applying Maryland law, has held that the professional services and managed care activity exclusions in a D&O policy did not bar coverage for a lawsuit...more

Insurer’s Refusal to Participate in Settlement Negotiations Waives Consent-to-Settle Requirement

The United States District Court for the Southern District of Alabama, applying Alabama law, has held that an insurer could not invoke a policy’s consent-to-settle requirement to avoid liability because the insurer refused to...more

No Coverage for Lawsuit Alleging Same Circumstances Asserted in Email Received Prior to Policy Period

The United States District Court for the Central District of California, applying Georgia law, has held that a claims-made policy did not provide coverage for an underlying lawsuit where the allegations in that lawsuit were...more

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