Insurer Wins $10M Dispute Over Airline Failure Fallout

Law360, New York (March 9, 2010, 6:44 PM EST) -- Travel company Lopez & Medina Corp. has lost a bid to hold U.S. Aircraft Insurance Group liable for policyholder Pace Airlines Inc.'s alleged $10 million breach of contract, the result of a failure to live up to a deal to provide Puerto Rico with chartered flights.

As much as Lopez & Medina would like to leave USAIG on the hook, its policy covering Pace does not provide coverage for breach of contract claims, Judge Juan M. Perez-Gimenez of the U.S. District Court for the District of...
To view the full article, register now.