Railroad Injury Row Covered Despite Defense Denial Notices

Law360, New York (July 25, 2017, 7:16 PM EDT) -- A Georgia federal judge found Tuesday that Evanston Insurance Co. remains on the hook for the costs incurred by a railroad defending against a workplace injury suit thanks to a pair of poorly written rights reservation letters.

District Judge Marc T. Treadwell denied Evanston summary judgment, saying that the initial complaint against Sandersville Railroad Co. was too sparse for Evanston to invoke a policy exclusion and that the insurer’s rights reservation letters failed to warn the railroad that Evanston would seek to recoup the railroad's defense costs.

“As noted above, Evanston’s letters never state a position that Evanston did not owe...

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