The Rules Of The Road For Recovering Atty Fees

Law360, New York (October 28, 2010, 1:34 PM EDT) -- On Oct. 1, a New York appellate court held in RLI Ins. Co. v. Smiedala[1] that an insured who prevailed in a declaratory relief coverage action brought by its excess insurer could recover its attorneys' fees in the litigation, even though the excess insurer’s coverage obligations with respect to underlying litigation had not yet been triggered.

The opinion, of interest to insureds engaged in coverage disputes, is well-supported by prior New York precedent that “‘an insurer’s responsibility to defend reaches the defense of any actions arising...
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