Zurich Sanctioned In Abestos Coverage Suit

Law360, New York (December 19, 2011, 10:02 PM EST) -- A Minnesota federal judge on Monday sanctioned Zurich American Insurance Co. and compelled it to produce corporate witnesses to testify on certain issues in insulation company API Inc.’s suit against the insurers for more than $70 million in asbestos-related coverage claims.

U.S. Magistrate Judge Tony Leung granted part of the plaintiffs’ request for discovery misconduct sanctions, granting them two-fifths of their attorneys' fees and travel expenses to cover the deposition over the sanctions.

The insurance dispute arose in 2002 when API Inc. and its asbestos settlement...
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