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Lawsuit not a “Related Claim” to Earlier Demand Letter, but Policy Rescinded Based on Material Misrepresentations in Application

The United States District Court for the Middle District of Florida has held that an insurer was entitled to rescind a professional liability insurance company where the insured architecture firm made multiple material...more

Insurer Entitled to Recoup Defense Costs Absent Express Policy Provision

The United States District Court for the Eastern District of Michigan, applying Michigan law, has held that, even absent an express policy provision regarding recoupment, an insurer was entitled to recoup defense costs after...more

Defense Costs Presumed Reasonable if Insurer Breaches Duty to Defend

The United States Court of Appeals for the Seventh Circuit has held that, under Indiana law, when a liability insurer breaches its duty to defend, the defense costs that the insured incurs in the underlying matter are...more

Policy Requires Allocation of Defense Costs Based Upon Parties’ Relative Legal Exposure

The United States District Court for the Central District of Illinois has held that an insurance policy requires allocation of defense costs based on the parties’ relative legal exposure if it clearly and unequivocally...more

Wrongful Acts Alleged in Class Action Based on Corporate Policy Are Not “Related Acts”

The United States District Court for the Southern District of New York has held that an insurer has a duty to defend its insured’s subsidiary in a class action lawsuit that alleges wrongful conduct that occurred prior to the...more

Insurer Has Duty to Defend Suits Seeking Only Declaratory and Injunctive Relief

An Illinois appellate court has held that a professional liability insurer has a duty to defend suits seeking only declaratory and injunctive relief, even though the suits did not allege potentially covered damages.  MHM...more

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