9th Circ. Revives Builder's Bid For Coverage Of Benefit Claims

By Jeff Sistrunk (April 8, 2020, 10:05 PM EDT) -- The Ninth Circuit on Wednesday revived Erickson-Hall Construction Co.'s lawsuit seeking to put two insurers on the hook for its costs to defend and settle claims that it negligently failed to pay premiums on its employee life and disability benefits plans and let the plans lapse.

A three-judge panel reversed U.S. District Judge Gonzalo P. Curiel's February 2019 ruling that Hartford Fire Insurance Co. and Scottsdale Insurance Co. are not obligated to defend or indemnify Erickson-Hall in the three underlying claims under the fiduciary liability prongs of insurance policies they issued to the construction company. The policies extended coverage to Erickson-Hall...

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