Implications Of State Auto V. Flexdar

Law360, New York (April 10, 2012, 1:02 PM EDT) -- Enforcing the pollution exclusion clause in a commercial general liability policy continues to be problematic for insurers in the state of Indiana. On March 22, 2012, the Indiana Supreme Court once again held that the absolute pollution exclusion is unenforceable because the term "pollutant" is ambiguous. State Auto. Mut. Ins. Co. v. Flexdar Inc., No. 49S02‐1104‐PL‐199, Slip Op. (Ind. March 22, 2012).

Flexdar Inc. manufactured rubber stamps and printing plates at its facility in Indiana from 1994 through 2003. Flexdar's manufacturing process used a chemical solvent...
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