Insurer Can't Rescind Recycler's Policies, 9th Circ. Affirms

Law360, Los Angeles (May 18, 2017, 8:29 PM EDT) -- Star Insurance Co. can't void a recycling company's policies despite misrepresentations on the policyholder's applications regarding the nature of its business, the Ninth Circuit affirmed Thursday, agreeing with a lower court that Star must cover claims stemming from an arson at the recycler's yard.

Following a five-day bench trial in 2015, U.S. Magistrate Judge Douglas F. McCormick concluded that Star can't rescind Anaheim, California-based Sunwest Metals Inc.'s two commercial lines policies because the insurer and its agents failed to investigate further after receiving information indicating that...
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Case Information

Case Title

Star Insurance Co. v. Sunwest Metals, Inc.


Case Number

15-56562

Court

Appellate - 9th Circuit

Nature of Suit

4110 Insurance

Date Filed

October 9, 2015


Case Title

Star Insurance Company v. Sunwest Metals, Inc.


Case Number

15-56568

Court

Appellate - 9th Circuit

Nature of Suit

4110 Insurance

Date Filed

October 13, 2015

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