6th Circ. Flips Auto Parts Maker's $25M Flood Coverage Win

Law360 (July 9, 2019, 5:26 PM EDT) -- The Sixth Circuit has upended a lower court's ruling that Federal-Mogul LLC's insurer must pay $25 million to cover the auto parts maker's financial losses from the flood-related shutdown of a factory in Thailand.

A three-judge panel on Monday overturned U.S. District Judge Nancy G. Edmunds' 2015 decision that Insurance Co. of the State of Pennsylvania owes Federal-Mogul coverage for lost production when its plant was shuttered due to flood damage, saying the judge wrongly found that a flood sublimit in the policy only applies to property damage and not "time element," or economic, losses.

The $30 million sublimit, which the...

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Case Title

Subscribers Only

Case Number

Subscribers Only

Court

Appellate - 6th Circuit

Nature of Suit

4110 Contract: Insurance

Date Filed

June 7, 2017


Case Title

Subscribers Only

Case Number

Subscribers Only

Court

Appellate - 6th Circuit

Nature of Suit

4110 Contract: Insurance

Date Filed

June 26, 2017

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