Liberty Mutual Must Back Alcoa In Homeowners' 'Red Dust' Suit

Law360, New York (June 26, 2012, 5:04 PM EDT) -- A Pennsylvania federal judge on Tuesday ruled that Liberty Mutual Insurance Co. has a duty to defend Alcoa Inc. from lawsuits claiming “red dust” that blew from an Alcoa refinery during a hurricane sickened neighbors, saying it was unclear whether an asbestos exception applied.

U.S. District Judge Cathy Bissoon denied the insurer's motion for summary judgment and granted Alcoa's motion for partial summary judgment, declaring that a duty to defend existed even though Alcoa's Liberty Mutual policies implicated in the two underlying suits contained an exception...
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