Strip Club Chain Seeks Coverage Of Text Spam Suits

Law360, New York (October 19, 2011, 1:03 PM EDT) -- Rick's Cabaret International Inc. sued Indemnity Insurance Corp. in Texas on Tuesday for coverage of two class actions accusing the adult nightclub chain of violating the Telephone Consumer Protection Act by barraging customers with unwanted text messages.

Rick's seeks coverage from IIC under several policies that each have an aggregate limit of $5 million. The lawsuit claims the insurer relied on inapplicable exclusions for invasion of privacy and violations of Federal Communications Commission rules when it refused to defend the strip club operator against two suits...
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