3rd Circ. Vexed By Insurer's Stance In IP Suit Coverage Row

By Jeannie O'Sullivan (September 21, 2021, 4:55 PM EDT) -- A Third Circuit panel on Tuesday challenged an insurer's argument that a policyholder isn't owed coverage for a false advertising complaint, questioning how the marketing language at issue in the underlying lawsuit wasn't targeting the suing competitor.

During oral argument, a three-judge panel balked at Evanston Insurance Co.'s contention that Vitamin Energy LLC wasn't actually facing a coverable claim that it disparaged the creators of 5-Hour Energy shots because, the insurer argued, Vitamin Energy's advertising statements were referring to its own drink product. The panel was tasked with reviewing a Pennsylvania district court's decision that Evanston didn't have a duty to...

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