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First Circuit Limits Insurers’ Right to Recoup Defense Costs, Settlement Payments

Weighing in on an issue that has divided courts nationwide, the U.S. Court of Appeals for the First Circuit has ruled that an insurer under Massachusetts law has no right to recoup defense costs, or amounts the insurer pays...more

Top Developments – November 2022

SPOTLIGHT: Third Circuit Court of Appeals Affirms No Coverage for Sex Trafficking Claims - In Nautilus Insurance Co. v. Motel Management Services Inc., the Court of Appeals granted a motion for judgment on the pleadings...more

Massachusetts Federal Court Rejects Adria Towers, Finds Construction Defects Not an “Occurrence”

In an important ruling for insurers, U.S. District Court Judge Patti Saris found that Massachusetts does not follow the position taken in Cypress Point Condo Association v. Adria Towers, LLC, 226 N.J. 403, 418 (2016), i.e.,...more

Connecticut Appellate Court Breaks New Ground on Policy Exhaustion

The Connecticut Appellate Court recently issued a wide-ranging opinion, Continental Casualty Co. v. Rohr, Inc., which significantly extended the current restrictive view on when a general liability policy can be considered...more

First Circuit Holds Conflicting Policy Provisions Require Coverage for Petroleum Spill

On December 18, 2020, the U.S. Court of Appeals for the First Circuit held that conflicting provisions in an excess policy required an insurer to cover the costs a transportation company incurred to clean up a fuel spill,...more

The Goldilocks Rule: Panel Rejects Proposed Insurer-Specific MDL Proceedings for Four Large Insurers, but Establishes MDL...

It is an outcome few people expected. Back in August, the Judicial Panel on Multidistrict Litigation (Panel) refused plaintiffs’ requests to set up a single industry-wide multi-district litigation, which would have...more

No Global MDL For COVID Business Interruption Claims, But Panel Will Consider Separate Consolidated Proceedings For Lloyds,...

In a widely anticipated ruling, the Judicial Panel on Multidistrict Litigation has denied two motions to centralize pretrial proceedings in hundreds of federal cases seeking coverage for business interruption losses caused...more

All Roads Lead to the JPMDL: Another COVID-19 Business Interruption Declaratory Judgment Is Stayed Pending MDL Decision

Insurers nationwide are awaiting the forthcoming decision of the Judicial Panel on Multidistrict Litigation (JPMDL) on consolidating COVID-19 business interruption coverage lawsuits. In the meantime, some federal courts are...more

Shuttered Businesses Seek National Consolidation of COVID-19 Business Interruption Claims

On April 20, 2020, two Philadelphia restaurants filed a petition with the Judicial Panel on Multi-District Litigation (the Panel or JPMDL), seeking to transfer and consolidate all COVID-19 business interruption insurance...more

First Circuit: No Coverage, No Duty to Investigate Alleged Loss Prior to Policy Period

On April 1, 2020, the First Circuit, applying Massachusetts law, issued a potentially useful decision addressing the Montrose “known loss” language in ISO Form CGL policies. In Clarendon National Insurance Company v....more

Massachusetts Joins the Fray, Introduces Bill Forcing Insurers to Pay for COVID-19-Related Business Interruption Losses

Before the ink could even dry on our latest alert, regarding Ohio's proposed bill, we learned that Massachusetts legislators had introduced their own COVID-19 bill — making it the third such bill in the span of about two...more

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