Executive Summary Blog

Executive Summary Blog

Legal developments affecting professional liability insurers

Tag Archives: Louisiana

Contract Exclusion Bars Coverage for Negligence Claims Arising From Insured’s Alleged Breach of Contract

Posted in Breach of Contract – coverage for amounts due pursuant to contract, exclusions
Applying Louisiana law, a Louisiana court of appeals has held that a contractual liability exclusion in a directors and officers liability policy precluded coverage for an insured’s alleged tortious conduct on the basis that the torts would not have occurred “but for” an alleged breach of contract by the insured.  Perniciaro v. McInnis, 2018 WL… Continue Reading

Amended Complaint Raising Different Legal Theory Is Not a Claim First Made at Time of Initial Complaint

Posted in Notice of Claim, Related Claims and associated exclusions
The Louisiana Court of Appeals has held that a claims-made policy affords coverage for a lawsuit filed before the policy period because an amended complaint alleging a new legal theory was filed during the policy period.  Billeaudeau v. Opelousas Gen. Hosp. Auth., 2018 WL 1835510 (La. Ct. App. Apr. 18, 2018).  The court also rejected… Continue Reading

Initial Inquiry Letter from Office of Disciplinary Counsel Constitutes “Disciplinary Proceeding,” Triggering Notice Obligation

Posted in “Claim”, Notice of Claim
A Louisiana appellate court, applying Louisiana law, has held that an initial inquiry letter from the Louisiana Attorney Disciplinary Board, Office of the Disciplinary Counsel received by a lawyer constituted a “Disciplinary Proceeding” under a lawyer’s professional liability policy, triggering an insured’s notice obligations under the policy. Trelles v. Continental Cas. Co., 2017 WL 658249… Continue Reading

Claims Not Related When Prior Demands Would Not Have Been Covered

Posted in “Claim”, Related Claims and associated exclusions
The Court of Appeal of Louisiana, applying Louisiana law, has held that a class arbitration claim that was covered under an errors and omissions policy was not “related” under the policy’s related claim provision to two earlier contractual demands for indemnity and workers compensation first made prior to the policy period.  Williams v. SIF Consultants… Continue Reading

In Absence of Alleged Malpractice, No Professional Liability Coverage Available

Posted in Professional Services
In a win for an insurer represented by Wiley Rein, the United States Court of Appeals for the Fifth Circuit, applying Louisiana law, has held that a lawyers professional liability policy afforded no coverage for a suit alleging no act or omission by the insured in providing legal services.  Edwards v. Continental Cas. Co., 2016… Continue Reading

No Rescission Based on Application Signer’s Fraud; Fraudster’s Knowledge Cannot Be Imputed to Bank

Posted in Rescission
Applying Louisiana law, the United States District Court for the Western District of Louisiana has held that an insurer cannot rescind a fidelity bond issued to a bank because it could not prove as a matter of law that the bank intended to deceive the insurer. Everest Nat’l Ins. Co. v. Tri-State Bancshares, Inc., No.… Continue Reading

Claims-Made-and-Reported Policies Do Not Violate Louisiana Statute

Posted in Notice of Claim
The United States District Court for the Middle District of Louisiana has held that claims-made-and-reported policies do not violate a Louisiana statute that prohibits insurance contracts from limiting the insured’s right of action against the insurer to a period of less than one year from the time when the cause of action accrues, because claims-made-and-reported… Continue Reading