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Potential Recovery Opportunities Arising From Pollution Claims

Energy production in the United States is at an all-time high. In 2013, an average of 7.5 million barrels of oil were pumped every day, which bested the previous production record (2012) by one million barrels. Domestic oil...more

2013 Review Of 3rd-Party Pollution Exclusion Decisions

Decades after its inception, the liability insurance policy’s pollution exclusion remains a much-litigated area of insurance law. In the third-party liability context, the provision precludes coverage for injury or damage...more

Oklahoma Court Enforces Terms of Pollution Buy-Back

In its recent decision in Star Ins. Co. v. Bear Prods., Inc., 2013 U.S. Dist. LEXIS 148559 (E.D. Okl. Oct. 16, 2013), the United States District Court for the Eastern District of Oklahoma had occasion to consider the...more

Insureds Must Exhaust Coverage From Solvent Insurers

On September 24, 2013, the New Jersey Supreme Court ruled that policyholders must look to its solvent insurers before seeking benefits from the New Jersey Property-Liability Insurance Guaranty Association (“Guaranty...more

The Lone Ranger Rides Again – The Fifth Circuit’s Withdrawal of its Ranger Opinion and Certification to the Texas Supreme Court

The U.S. Court of Appeals for the Fifth Circuit has responded to the request for rehearing in Ranger Insurance, Ltd. v. BP P.L.C., 710 F.3d 388 (5th Cir. Mar. 1, 2013) by withdrawing its March 1, 2013 opinion (reversing the...more

Hold On To Your Insurance … Federal Court Certifies Deepwater Horizon Questions To Texas Supreme Court

BP’s woes from the Deepwater Horizon disaster in the Gulf continue. The federal Fifth Circuit in In re: Deepwater Horizon, withdrew an opinion of a three-judge panel and certified questions for consideration by the Supreme...more

New Developments Involving the Deepwater Horizon Incident

The U.S. Court of Appeals for the Fifth Circuit reversed course on August 29th and withdrew its earlier opinion in a dispute involving Transocean Deepwater Drilling, Inc., Ranger Insurance, Limited, and BP, P.L.C., among...more

South Carolina Court Rejects Theory of Seamless Claims Made and Reported Coverage

In its recent decision in GS2 Engineering & Environmental Consultants, Inc. v. Zurich American Ins. Co., 2013 U.S. Dist. LEXIS 95137 (D.S.C. July 9, 2013), the United State District Court for South Carolina had occasion to...more

Late notice by petroleum transporter results in insurance coverage denial

In the matter of Starr Indem. & Liab. Co. v. SGS Petroleum Serv. Corp., Case No. 12-20545 (5th Cir. June 18, 2013), the U.S. Court of Appeals for the Fifth Circuit recently upheld their prior decision in Matador Petroleum...more

Fifth Circuit Rejects Insured’s Attempt to Use Lack of Prejudice When Notice Provision is Separately Negotiated

The 5th Circuit rebuffed an insured’s attempt to circumvent policy language requiring notice within 30 days of a pollution occurrence in a bumbershoot (umbrella) policy in Starr Indemnity & Liability Company v. SGS Petroleum...more

Absolute Pollution Exclusion Applies Indoors

In Midwest Family Mutual Insurance Co. v. Wolters, et al., — N.W.2d –, 2013 WL 2363239 (Minn. May 31, 2013), the Minnesota Supreme Court joined the minority view in holding that the absolute pollution exclusion applies to...more

Second Circuit Holds Pollution Liability Policy Not Triggered

In its recent decision in Colonial Oil Indus. v. Indian Harbor Ins. Co., 2013 U.S. App. LEXIS 12946 (2d Cir. June 25, 2013), the United States Court of Appeals for the Second Circuit, applying New York law, had occasion to...more

Oregon Enacts Significant Amendment to Environmental Clean-Up Insurance Statute

On June 10, 2013, Governor John Kitzhaber of Oregon signed into law a significant amendment to the Oregon Environmental Cleanup Assistance Act, ORS 465.475 et seq. (the “OECAA Amendment”)....more

Second Circuit Requires Complete Reimbursement of Class Action Defense Costs

On June 18, 2013, the Second Circuit affirmed that a liability insurer was obligated to reimburse Olin Corporation for 100% of the defense costs it incurred defending against environmental contamination class action claims....more

5th Circuit Holds Late Notice Bars Coverage Under Buy-Back Pollution Coverage

In its recent decision in Starr Indemnity & Liability Co. v. SGS Petroleum Service Corp., 2013 U.S. App. LEXIS 12425 (5th Cir. 2013), the United States Court of Appeals for the Fifth Circuit, applying Texas law, had occasion...more

Recent Massachusetts Decision Applies Pro-Rata Allocation and Continuous Trigger to Progressive Injury Claims, Including Asbestos...

What you need to know: A recent Massachusetts federal trial court ruling applied pro-rata allocation and continuous trigger to progressive injury claims arising from asbestos and toxic chemicals and metals....more

Do Liability Policies, Particularly Pollution Liability Insurance Policies, Exclude Coverage for All Injunctions? The Fifth...

The Fifth Circuit handed down an important decision last week, Louisiana Generating LLC v. Illinois Union Insurance Company, clarifying the scope of coverage under a Premises Pollution Liability Insurance Policy. The...more

Defense Cost Analysis in Complex Environmental Fee Claims

Introduction - Many of our litigation management audits involve complex environmental cleanup cases. In these cases, it is important to first evaluate the underlying matter, including the fact patterns of the various...more

Is That Covered? Tanker Fire

On May 9, 2013, a tanker truck carrying thousands of gallons of diesel fuel, overturned and caught on fire on a ramp near Interstate 81 and route 322 in Harrisburg....more

Insurance Recovery Law -- May 01, 2013

Insurers Had Duty to Defend Regardless of Whether Allegations in Underlying Cases Are True or False, Says Illinois Court - On April 12, 2013, an Illinois trial court ordered that Travelers Casualty & Surety Company,...more

Oklahoma Court Addresses Time Element Pollution Exclusion

In its recent decision in Colony Insurance Company v. Bear Products, Inc., 2013 U.S. Dist. LEXIS 43716 (E.D. Okl. Mar. 26, 2013), the United States District Court for the Eastern District of Oklahoma had occasion to consider...more

Fifth Circuit Reverses District Court in Deepwater Horizon Insurance Coverage Litigation and Grants BP Unlimited Access to...

On March 1, 2013, a three-judge panel of the United States Court of Appeals for the Fifth Circuit, in In re Deepwater Horizon, No. 12-30230, 2013 WL 776354 (5th Cir. March 1, 2013), held that BP PLC ("BP") can access...more

Illinois Appellate Court Endorses “All Sums” Allocation Rule for Asbestos Bodily Injury Losses under Excess and Umbrella Insurers

On March 5, 2013, the First District Appellate Court of Illinois ruled in John Crane, Inc. v. Admiral Ins. Co., 2013 IL App (1st) 093240-B that excess and umbrella insurers covering asbestos-related injury claims are jointly...more

Insurers Should Re-Examine Additional Insured Liability Coverage Wording in Light of BP Oil Spill Decision

What you need to know: The US Court of Appeals for the Fifth Circuit ruled that the insurance policy, rather than the indemnity provision of an underlying service contract, determined whether BP was an additional insured for...more

Reinsurance Redux - March 2013

In This Issue: - New York Court of Appeals Reverses Decision Requiring Reinsurers to Follow the Fortunes on Asbestos Settlement Where There Were Questions of Fact With Respect to Reasonableness of Reinsured’s...more

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