AIG Unit Must Cover Titeflex In Pa. Gas Spill, Court Says

Law360, Philadelphia (March 5, 2014, 5:52 PM EST) -- The Pennsylvania Superior Court on Wednesday affirmed a trial court ruling that said an American International Group subsidiary had a duty to defend Titeflex Corp. in the remaining litigation over a connector device that was implicated in a 1998 gas leak.

The three-judge panel concluded that National Union Fire Insurance Co., as Titeflex’s excess insurer, was obligated to defend the manufacturer because, under Pennsylvania law, the company had exhausted coverage under its primary insurer.

The court said that Pennsylvania law, rather than New York law, applies...
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