General Business Products Liability Civil Procedure

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Incorporation of Already Contaminated Ingredients Does Not Trigger Lloyd’s Products Contamination Insurance

In Windsor Food Quality v. Underwriters of Lloyds, et al. (No. E058324, filed 2/6/15) a California appeals court held that coverage for recall costs would only attach under a Lloyd’s Products Contamination Insurance policy...more

Release of Liability of Company’s Own Ordinary Negligence Valid

In Grebing v. 24 Hour (filed 1/29/15, Case No. B255866), the California Court of Appeal, Second Appellate District, upheld the validity of 24 Hour's release of liability for its own negligence and further affirmed that 24...more

Proposed Law Aims to Remove Shroud of Secrecy in Court Settlements

A cadre of corporations whose profit margins outweigh product safety have found a loophole in the litigation process: sealed settlement agreements. Such agreements are legal, as there is no law prohibiting them, and often...more

California: Service of Suit Endorsement Trumps Forum Selection Clause in Case Involving Product Recall Due to Contamination.

On February 5th in a case involving the recall of over $500,000 worth of oyster products made from Korean shellfish, the Southern District of California held: (1) that the policy’s service of suit clause, which gave the...more

Manufacturing Matters – Winter 2015

In This Issue: - Pre-action costs protection in environmental claims - Shared Parental Rights – what you need to know - Due diligence on your partner in China – are you talking to the right person? - An Interview...more

Insurance Recovery Law - February 2015

California Court Adopts Broad Interpretation of “Occurrence,” Finds Coverage - Why it matters: In a victory for policyholders—and a continuation of the trend of courts adopting a broad reading of the term “occurrence”...more

California Appellate Court Finds No Malicious Product Tampering Coverage for Westland’s Ground Beef

In 2008, Windsor Food Quality Company, Ltd. (Windsor) purchased Westland/Hallmark Meat Company’s (Westland’s) ground beef as an ingredient to be used in its José Olé® frozen food products. On January 30, 2008, the U.S....more

Expert Testimony in Indemnity Action Not Limited to Opinions Presented in Underlying Matter

In National Union Fire Insurance Co. of Pittsburgh Pa. v. Tokio Marine and Nichido Fire Insurance Co. (filed 2/4/2015, B24899 and B247258), the California Court of Appeal, Second District, held that the insurer of Costco...more

A New Look at Implied Warranties for Used Goods

Recently, the Supreme Court of Texas examined whether a buyer of used goods may assert claims based on the implied warranty of merchantability. See MAN Engine & Components, Inc. v. Shows, 434 S.W.3d 132 (Tex. 2014). ...more

Wisconsin Supreme Court's misapplication of the pollution exclusion and disregard for policyholders' business and purpose in...

Last week, the Wisconsin Supreme Court issued two opinions in which it held that pollution exclusions barred coverage for third-party claims resulting from alleged contamination of water due to the seepage of cow manure and...more

Stopping Products Liability Claims Is Cheaper Than Defending Them

While manufacturers inevitably face products-liability claims, certain business practices could enable your company to limit or even prevent exposure. Being sued on the basis of products liability costs companies in a variety...more

Proposition 65 Plaintiff Group Seeks to Rescind “Safe Harbor” Standard for Lead

Mateel Environmental Justice Foundation, which has a long history as a Proposition 65 plaintiff, filed a writ petition earlier this week seeking to challenge and rescind the “safe harbor” level for lead under Proposition 65. ...more

Insurance Recovery Law -- December 2014

Texas Appeals Court Upholds $8.7M Verdict for Policyholder Against Broker - Why it matters: An appeals court in Texas upheld an $8.7 million jury verdict against a broker that procured coverage with significant...more

Partial Recall: Product Contamination Coverage Has Its Limits

In disputes over the scope of liability coverage, courts must often draw a line between (1) providing insurance against errors that harm others and (2) broadly guaranteeing the work product of the insured. The problem is...more

EuGH: Einzelhändler können für Belastungen von in Verpackungen geliefertem Geflügelfleisch verantwortlich sein

Der EuGH urteilte, dass ein ausschließlich auf der Vertriebsstufe tätiger Unternehmer für das Inverkehrbringen von nicht zum Verzehr geeigneten Lebensmittel zur Verantwortung gezogen werden kann. Der Einzelhandel sollte sich...more

Safeguard Your Litigation Privileges When Working With Insurance Brokers On Complex Insurance Claims

Businesses facing catastrophic losses, whether as a result of an accident or a natural disaster, or due to mass tort claims, frequently will engage both their insurance broker and legal counsel to identify and pursue...more

Alert: Ninth Circuit Expands the Limits of Post-Confirmation Injunctions and Non-Debtor Releases Under A Chapter 11 Plan

For years, it has been the rule in the Ninth Circuit that a chapter 11 plan cannot discharge or otherwise affect the obligation of a non-debtor owed to a third party. This view interprets section 524(e) of the Bankruptcy...more

A “Good” Deed Goes Unpunished

Alabama Supreme Court Rejects “Good Samaritan” Liability in Gray Market Case - Last month, I wrote about the “Good Samaritan” rule, codified in Restatement (Second) of Torts, section 324A, “Liability to Third Persons...more

Untouchable? – New York Court Rules that Policyholders Have No Claims against Reinsurer (NICO) or Third-Party Claims Administrator...

In recent years, more than two dozen insurance companies, including Liberty Mutual, AIG, and CNA, have entered into reinsurance arrangements with National Indemnity Company (“NICO”), a subsidiary of Berkshire Hathaway Inc....more

Maryland Court Reconsiders a Company’s Duty to Warn of Asbestos-containing Replacement Parts It Did Not Manufacture or Otherwise...

Maryland’s Court of Special Appeals recently reconsidered the duty to warn of asbestos-containing replacement parts that the defendants did not manufacture or place in the stream of commerce in Philip Royce May v. Air &...more

Testing Texas CGL Coverage For 3rd Party Products

On Sept. 19, the Fifth Circuit certified four questions to the Texas Supreme Court regarding coverage under a commercial general liability policy in U.S. Metals Incorporated v. Liberty Mutual Group Incorporated, No. 13-20433,...more

Pennsylvania Supreme Court Declines To Review Pro-Policyholder Decision; Contrary Arguments Possible

For years, product manufacturers relied on commercial general liability policies to defend and indemnify them for product liability claims. Although these policies may exclude coverage for pure economic loss or for damage to...more

Recent NJ Appellate Court Decision Indicative of Continuing Uncertainty Regarding Personal Jurisdiction Over Foreign Manufacturers...

The past few years have seen the United States Supreme Court issue a number of important decisions on the subject of personal jurisdiction. For example, the Court’s decisions in Daimler AG v. Bauman, 134 S. Ct. 746 (2014) and...more

IMO Industries Tackles New Jersey Law on Host of Insurance Coverage Issues

On September 30, 2014, New Jersey’s Appellate Division ruled on a bevy of insurance coverage issues in the long-tail liability context, including exhaustion of primary policies, application of policy limits to multi-year and...more

Food Litigation Newsletter - September 2014

In This Issue: - Recent Significant Developments And Rulings ..Voluntary Dismissal in Frito-Lay Pretzel Case ..Court Denies Motion to Dismiss in Florida "Natural" Action ..Court Embraces Standing...more

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