War Games Still Relevant in the 21st Century as Demonstrated by Business Blackout Report

“I don’t believe any system is totally secure.”  Matthew Broderick’s character in the 1983 classic movie War Games makes this very astute observation about information security shortly before he slips in a back door of a computer system called Joshua and nearly causes a nuclear holocaust. Thus far, most breaches are centered on gathering data and information. But what if the intent were more sinister and more widespread than just a single company? What would be the impact? These are
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District Court Deems Plant Contamination “Direct Physical Loss”

This commercial property coverage dispute involved a determination of whether the release of ammonia gas at a juice cup manufacturing plant constituted a “direct physical loss of or damage to” the policyholder’s property. As background, during the startup of a new manufacturing facility that used anhydrous ammonia as its refrigerant, ammonia was released, injuring one employee and causing the shutdown and evacuation of the plant. Gregory Packaging was required to hire a remediation company to clear the ammonia from the
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Insurer Bears Burden of Segregating Covered from Non-covered Hurricane Katrina Losses

Imperial Trading Co. v. Travelers Prop. Cas.  Co. (E.D. LA 2009) A distributor of video poker and gaming machines filed an action for coverage under an “all risks” or “open peril” policy for inventory and business property destroyed when a warehouse was initially damaged by Hurricane Katrina and then inundated from flood waters when the levee failed.  The distributor sought a ruling that, once an insured has proven loss, the insurer bears the burden of showing that the loss falls
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Taco Bell franchisees win coverage for E.coli related losses

Quick Service Management, Inc. v Underwriters of Lloyds (New Jersey – June 12, 2009)   The New Jersey Superior court held that an unexplained exclusion in a trade name restoration policy that replaced a food borne illness policy does not bar Coverage for Taco Bell E. Coli outbreaks. The court considered whether an “Aggregate Supplier Incident Sublimit” of $0 contained in a Trade Name Restoration (TNR) policy precluded coverage to franchisees of Taco Bell Restaurants for a 2006 outbreak of E.
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