Minn. Rule On Insurer Defense Cost Requests Nixed

Law360, New York (July 1, 2010, 2:48 PM EDT) -- Minnesota’s highest court has overturned a long-standing rule barring an insurer from seeking recovery of defense costs from another insurer in deciding Cargill Inc.’s suit for defense costs in litigation over its waste disposal policies, finding that the rule was no longer appropriate when multiple insurers are obligated to defend an insured.

The Supreme Court of the State of Minnesota on Wednesday issued an opinion overruling the standard it laid out in 1967 in Iowa National Insurance v. Universal Underwriters Insurance.

Siding with Liberty Mutual Insurance...
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