The U.S. Court of Appeals for the Third Circuit, applying California and Virginia law, has found that wrongful acts alleged in two ERISA class actions comprising different class periods are causally and logically related. Northrop Grumman Corp. v. AXIS Reinsurance Co., 2020 WL 1933264 (3rd Cir. Apr. 22, 2020).
Continue Reading Class Actions Comprising Different Class Periods Causally and Logically Related
The U.S. Court of Appeals for the Sixth Circuit, applying Kentucky law, has held that incarceration is a continuous injury sufficient to trigger a duty to defend in a wrongful conviction lawsuit under law enforcement liability policies in effect during the claimant’s incarceration. St. Paul Guardian Ins. Co. v. City of Newport, 2020 WL 1514837 (6th Cir. Mar. 30, 2020).
Continue Reading Incarceration Constitutes Continuous Injury Triggering Duty to Defend
The U.S. Court of Appeals for the Eighth Circuit, applying Kansas law, has held that a contract exclusion bars coverage for a lawsuit asserting claims for conversion and breach of fiduciary duty for failure to purchase a deceased owner’s stock under a stock repurchase agreement. Russell v. Liberty Ins. Underwriters, Inc., 2020 WL 812910 (8th Cir. Feb. 19, 2020). The court also held that the agreement was not an employee benefit plan that would implicate fiduciary liability coverage.
Continue Reading Contract Exclusion Bars Coverage for Lawsuit Over Stock Repurchase Agreement
In a win for Wiley Rein’s client, the U.S. Court of Appeals for the Second Circuit, applying Connecticut law, has held that no coverage is available for a lawsuit seeking recovery of disputed legal fees because the relief sought does not constitute covered “damages” and because the insured was not performing “legal services.” Continental Cas. Co. v. Parnoff, 2019 WL 6999867 (2d Cir. Dec. 20, 2019).
Continue Reading No Coverage for Lawsuit Seeking Recovery of Disputed Legal Fees
The U.S. Court of Appeals for the Ninth Circuit, applying California law, has held that an insurer is not required to show prejudice to deny coverage under a claims-made-and-reported policy based on an insured’s late notice. Euraupair Int’l, Inc. v. Ironshore Spec. Ins. Co., 2019 WL 6817593 (9th Cir. Dec. 13, 2019).
Continue Reading Notice Prejudice Rule Not Applicable to Claims-Made-And-Reported Policies
The California Court of Appeal, applying California law, has held that the undefined term “wage and hour . . . law” in a wage and
Continue Reading Exclusion for Wage and Hour Law Claims Limited to Laws Concerning Duration Worked or Remuneration Received in Exchange for Work
The United States District Court for the District of Minnesota, applying Minnesota law, has held that coverage is unavailable where the insured failed to report the claim to its insurer “as soon as practicable” as required by the policy’s notice provision. Citizens Ins. Co. of Am. v. Assessment Sys. Corp., 2019 WL 4014955 (D. Minn. Aug. 26, 2019).
Continue Reading Failure to Provide Notice of Claim “As Soon As Practicable” Precludes Coverage
The United States District Court for the Eastern District of Arkansas, applying Arkansas law, has held that coverage is unavailable for a lawsuit arising out of Interrelated Wrongful Acts at issue in an EEOC charge where the insured failed to report the EEOC charge to its insurer within the claims-made policy’s reporting period. Pine Bluff Sch. Dist. v. ACE Am. Ins. Co., 2019 WL 3074011 (E.D. Ark. July 12, 2019). The court also held that the insurer was not barred from denying coverage based on waiver or estoppel after it first provided a defense under a reservation of rights.
Continue Reading Failure to Report EEOC Charge Precludes Coverage for Interrelated Lawsuit
The United States District Court for the Northern District of Illinois, applying Oklahoma law, has held that the insured bears the burden of demonstrating that an exception to an otherwise applicable exclusion applies to restore coverage. World Water Works Holdings, Inc. v. Continental Cas. Co., 2019 WL 2576560 (N.D. Ill. June 24, 2019).
Continue Reading Insured Bears Burden of Establishing that Exception to Insured Versus Insured Exclusion Applies
The United States Court of Appeals for the Ninth Circuit, applying California law, has affirmed the district court’s holding that a specific matter exclusion bars coverage for a series of lawsuits involving the same parties as a lawsuit included in the policy’s definition of “Specific Matter” in that exclusion. Ocean Towers Hous. Corp. v. Evanston Ins. Co., 2019 WL 2484415 (9th Cir. June 14, 2019).
Continue Reading Specific Matter Exclusion Bars Coverage for Lawsuits Involving Same Parties as Lawsuit Included in Definition of “Specific Matter”