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Professional Liability Policy Terms

Goldberg Segalla

Dwindling Returns: Failing to Read LPL Policy Cost Millions

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A quirky reality of litigation is that the amount of recoverable dollars often dictates the strategy and approach. Maybe no one said it better than Biggie: “mo money, mo problems.” Especially in the context of an insured...more

Wiley Rein LLP

New Jersey Appellate Court Affirms Rescission of Policies Based on Law Firm’s Misrepresentation in Applications

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In a win for Wiley’s client, a New Jersey appellate court, applying New Jersey law, affirmed a trial court’s decision rescinding four lawyer’s professional liability policies because of material misrepresentations made in the...more

Sheppard Mullin Richter & Hampton LLP

The California Court of Appeal Interprets the Meaning of “Care, Custody, or Control” in the Context of an Abuse or Molestation...

In 2015, Continental Casualty Company issued a commercial general liability policy to Zongwei Shen dba Nobles Massage Spa. The policy covered Shen (the spa owner) and Zhong Xin (the spa manager and Shen’s wife) for damages...more

Wiley Rein LLP

New York Federal Court Holds Prior Knowledge Exclusion Applies Only to Known Claims, Not Facts and Circumstances That Could Lead...

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Applying New York state law, the United States District Court for the Northern District of New York held that a professional liability insurer had waived its rescission claims by failing to request additional explanations for...more

Butler Weihmuller Katz Craig LLP

Scheduling, Compliance, and Liaison Tasks under the Professional Services Exclusion

Although a construction manager’s scheduling and liaison responsibilities do not require specialized training, such tasks may be sufficiently related to the actor’s other roles to be excluded from coverage under a liability...more

Rivkin Radler LLP

New York Insurance Coverage Law Update — Compilation 2023

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The owners hired a general contractor (GC) insured by Amerisure to build a movie theatre, and the GC hired a masonry subcontractor (Sub) insured by Selective under a primary and umbrella policy...more

BCLP

RWI Market Turning to Unlikely Industries for New Deals: Health Care RWI Terms & Conditions Improving

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Representations and Warranties Insurance (RWI) has increasingly become a tool employed by both Buyers and Sellers to shift away from the traditional indemnification model of escrows or other mechanisms that could tie up...more

Butler Weihmuller Katz Craig LLP

Sexual Assault Is Not A Professional Service

Not many cases in Florida analyze Professional Services Exclusions in general liability policies.  However, on September 16, 2022, the Eleventh Circuit Court of Appeals released an order providing some clarification about the...more

Wiley Rein LLP

No Coverage for Lawsuit Based Only on Insured Law Firm’s Business Decisions

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A New York state court held that there was no duty to defend or indemnify an insured in connection with an underlying litigation because the operative complaint did not allege that the insured was acting in its professional...more

Wiley Rein LLP

Lawsuit Filed After Expiration of Policy Period for Lawyer’s Negligent Drafting of His Own Trust Agreement Not Covered Under...

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Applying the law of Mississippi, a federal district court held that coverage was unavailable under a claims-made policy for an underlying lawsuit because the lawsuit, which was filed after the expiration of the policy period,...more

Wiley Rein LLP

Kentucky Court Holds That Notice-Prejudice Rule Does Not Apply to Claims-Made-And-Reported Policies

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In a matter of first impression, a Kentucky appellate court held that the notice-prejudice rule does not apply to claims-made-and-reported policies. Darwin Nat’l Assurance Co. v. Kentucky State Univ., 2021 WL 1045716 (Ky....more

Wiley Rein LLP

No Coverage for TPA in Claim Arising from Extracontractual Exposure to Insurer

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A federal district court has ruled that a third-party administrator’s professional liability policy does not afford coverage for a claim against the TPA arising from an excess judgment against the TPA’s...more

Wiley Rein LLP

Despite Allegation that Law Firm Was Not Providing “Legal Advice,” Complaint Triggers Duty to Defend Under Lawyers’ Professional...

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A California federal court has held that a complaint alleging that a law firm was providing services in a non-legal capacity nonetheless triggered a duty to defend the firm under a lawyers’ professional liability policy,...more

Carlton Fields

Pennsylvania Federal Court Refuses to Dismiss Bad Faith Claim, Even Though Insurer Timely Made Demanded Payments

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There have been more developments in Ironshore Specialty Insurance Co. v. Conemaugh Health System Inc., the case brought by Ironshore, as excess carrier, to seek reimbursement of amounts paid in an underlying medical...more

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