7th Circ. Revives Coverage Battle Over Faulty Valve Suit

Law360 (December 23, 2020, 8:07 PM EST) -- The Seventh Circuit on Tuesday axed a ruling absolving Federated Mutual Insurance Co. from covering an industrial parts supplier in a suit over faulty pipe valves it sold to a power station, finding that the trial court applied the wrong standard when denying the supplier's bid to introduce new evidence to support its insurance claim.

A three-judge panel of the appeals court said U.S. District Judge Staci M. Yandle erred in January when she granted Federated's motion for judgment on the pleadings and held that the insurer has no duty to defend or indemnify Coyle Mechanical Supply Inc. in the underlying...

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