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Chubb Units Don't Have To Cover IT Co. In Hawaii DOT Spat

Law360 (March 8, 2018, 8:09 PM EST) -- A bankrupt IT consultancy can’t use insurance policies with two Chubb units to pay for a suit over a “worthless” software system it built for the Hawaii Department of Transportation, a Colorado federal court has ruled, finding that the underlying suit’s allegations are strictly digital and therefore not “property damage.”

The Hawaii DOT hired Ciber Inc. to build the financial software system to help keep track of federal highway appropriations, only to see the company produce not a single line of usable code.

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