Insurer Needn't Cover Vending Machine Co. In Hidden Fee Suit

Law360 (September 4, 2019, 7:11 PM EDT) -- An Illinois federal judge ruled Wednesday that Amco Insurance Co. doesn’t have to defend or indemnify a Chicago-based vending machine supplier in a proposed class action alleging it charges hidden fees for payment card transactions on its machines, finding that the underlying suit doesn’t contain any potentially covered claims.

U.S. District Judge Ronald A. Guzman granted Amco’s motion for summary judgment in its dispute with policyholder Avcoa Inc., freeing the insurer of any obligation to cover the vending machine company’s costs in the underlying suit brought by consumer Joshua Moyer.

Avcoa’s general liability policies with Amco covered only claims stemming from...

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