Candy Maker Coverage Bid Sours In Bitter Trade Secrets Suit

Law360 (December 12, 2019, 7:21 PM EST) -- An Illinois state appeals court has affirmed that two Liberty Mutual units have no duty to defend Ferrara Candy Co. in a suit accusing it of stealing a former business partner's formulas for Welch's Fruit Snacks and Sour Jacks candies to make competing products, while also finding that the insurer can recover defense costs it previously paid on Ferrara's behalf.

In an opinion filed Wednesday, a panel of the Illinois Appellate Court's First District upheld a trial court's ruling granting judgment on the pleadings to Liberty Mutual Fire Insurance Co. and Liberty Insurance Corp. in their dispute with Ferrara over coverage...

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