The Insurer Is In Control: California District Court Upholds Insurer’s Right To Control Settlement and Conduct Its Due Diligence with Respect To a Coverage Investigation

In Travelers Property Casualty Co. of America v. Kaufman & Broad Monterey Bay, Inc., 2015 WL 581528 (N.D. Cal. Feb. 11, 2015), Travelers had issued commercial general liability insurance policies to Norcraft. The defendants were named as additional insureds on the policies. The defendants were sued for claims arising out of a residential development project. The defendants tendered their defense of the claims to Travelers, which accepted the tender and appointed counsel for the defendants. Travelers and the defendants asserted
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11th Circuit Refuses to Enforce Knowing Violation of Rights of Another Exclusion in FACTA Lawsuit

In Travelers Property Casualty Co. of America v. Kansas City Landsmen, L.L.C., No. 14-11006, 2015 U.S. App. LEXIS 453 (11th Cir. Jan. 12, 2015), the Eleventh Circuit reversed the district court’s grant of summary judgment in favor of Travelers Property Casualty Company of America and St. Paul Fire and Marine Insurance Company (“insurers”). The Eleventh Circuit determined that the insurers may have a duty to defend The Kansas City Landsmen, LLC and A Betterway Rent-a-Car, Inc. (“Car Rental Companies”). The
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Drafting History or Purpose Does Not Undermine Plain Language: Illinois Federal Court Enforces Insured-Versus-Insured Exclusion

In Travelers Casualty & Surety Co. of America v. Bernhardt, 2014 U.S. Dist. LEXIS 152416 (N.D. Ill. Oct. 28, 2014), the Northern District of Illinois granted summary judgment in favor of Travelers Casualty and Surety Company of America (Travelers), finding it had no duty to defend or indemnify Andrew Bernhardt in a breach of fiduciary duty and negligence lawsuit brought by Town Center Bank (TCB).  The underlying complaint involved several claims by TCB against Bernhardt originating from Bernhardt’s issuance of
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