The Eleventh Circuit recently held that an excess Directors and Officers (“D&O”) insurance policy did not cover its insured’s attorney’s fees after the primary policy’s limits were depleted.
Read More Eleventh Circuit Finds that Excess D&O Policy Did Not Cover Attorney’s Fees After Exhaustion of Primary Policy’s Limits
Coverage & Claims
UK: Court of Appeal Gives Guidance on When Notification of Circumstances is Enough
By Troutman Pepper Locke on
Posted in Coverage & Claims, United Kingdom
In the case of HLB Kidsons v Lloyd’s Underwriters subscribing to Lloyd’s policy No 621/PK1D000101 & Others [2008] EWCA Civ 1206, the Court of Appeal has given useful guidance on when notification of circumstances which may give rise to a claim is effective. Kidsons was a firm of chartered accountants who sold tax avoidance products through its subsidiary Solutions @ Fiscal Innovation Limited (S@FI). …
Read More UK: Court of Appeal Gives Guidance on When Notification of Circumstances is Enough
UK: English High Court Examines Whether a Claims Co-Operation Clause had been Agreed as a Term of a Reinsurance Contract
By Troutman Pepper Locke on
Posted in Coverage & Claims, United Kingdom
In Markel Capital Limited v (1) Gothaer Allgemeine Versicherung AG (2) Continentale Sachversicherung AG and Bloemers & Partners Limited [2008] EWHC 2517 (Comm), the Court was asked to consider a summary judgment application by Markel in respect of its claim for a declaration of non-liability on the ground that a condition precedent to its liability had not been satisfied. The Court also heard an application by the Defendant reinsureds against the broker, Bloemers & Partners, who broked the reinsurance contract to Markel on their behalf.
Federal Appeals Court: Co-Employee Attack Not A Covered Occurrence Despite Answer Alleging Self-Defense
By Troutman Pepper Locke on
Posted in Coverage & Claims, United States
The United States Court of Appeals for the Tenth Circuit recently held that an employee who allegedly beat a fellow employee with a shovel was not entitled to coverage under the employer’s insurance policy because the incident was not a covered “occurrence,” despite assertion in the answer that the employee had acted in self-defense.
Court Holds that Spyware Claims are Not Covered by GL or E & O Policy
By Troutman Pepper Locke on
Posted in Coverage & Claims, United States
A federal district court in Minnesota recently held that an insurer does not need to defend its insured under either a general liability policy or errors and omissions policy for claims related to spyware that the insured allegedly installed and monitored on a claimant’s computer.
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Read More Court Holds that Spyware Claims are Not Covered by GL or E & O Policy
New York Federal Court Sanctions Party for Issuing Improper Nonparty Subpoena in Arbitration
By Troutman Pepper Locke on
In Kenney, Becker LLP, et al. v. Kenney, 2008 U.S. Dist. LEXIS 1995 (S.D.N.Y. 2008), the United States District Court for the Southern District of New York held that a party that issued a nonparty subpoena in an arbitration arising under the Federal Arbitration Act (“FAA”) in bad faith and without the panel’s approval was subject to sanctions under both Rule 45 of the Federal Rules of Civil Procedure and the court’s inherent authority to impose attorneys’ fees.
New York’s Highest Court Confirms that Notice Under One Policy Does Not Constitute Notice Under a Second Policy Issued by the Same Carrier
By Troutman Pepper Locke on
Recently, the New York Court of Appeals affirmed a decision from a New York appellate court, holding that an insured’s notice under one policy does not constitute notice under a second policy issued by the same insurance carrier. …
Read More New York’s Highest Court Confirms that Notice Under One Policy Does Not Constitute Notice Under a Second Policy Issued by the Same Carrier
Eighth Circuit: No Extrinsic Evidence Should Be Admitted to Qualify Unambiguous Exclusion
In a recent decision of the United States Court of Appeals for the Eighth Circuit, the court reversed a ruling against a D&O insurer in a coverage action arising from a bankruptcy case.
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Read More Eighth Circuit: No Extrinsic Evidence Should Be Admitted to Qualify Unambiguous Exclusion
Massachusetts Court Denies Request for Discovery of Reinsurance Communications
By Troutman Pepper Locke on
In a recent decision, the Massachusetts Superior Court held that reinsurance communications were not discoverable in a declaratory judgment action involving environmental claims. …
Read More Massachusetts Court Denies Request for Discovery of Reinsurance Communications
Parties Ordered To Allocate Defense Costs Where Half Of Causes of Action Are Covered By D&O Policy
By Troutman Pepper Locke on
In a recent, unpublished decision, in a case in which coverage was sought for a suit filed against the insured by a shareholder, the District Court of New Jersey held that that two causes of actions were covered, while the remaining two claims were excluded from coverage under the terms of the policy. However, the court did not venture further into how to allocate, leaving it up to the parties to determine how best to allocate the defense costs in the ongoing litigation.