NL Industries Can Pursue Coverage Of $102M Lead Paint Deal

Law360 (January 5, 2021, 4:49 PM EST) -- A New York judge has ruled that paint maker NL Industries Inc. can seek insurance coverage for its nearly $102 million share of a settlement of a suit over negative impacts from the use of its lead-based paint in California homes, disagreeing with the insurers' position that the payment is uninsurable.

Judge Andrea Masley, of the New York Supreme Court, denied a motion for summary judgment filed by more than 50 of NL Industries' commercial general liability insurers, including various underwriters at Lloyd's of London and units of AIG, Chubb Ltd., Travelers and The Hartford.

The insurers had asserted that several...

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