( July 22, 2025, 8:53 AM EDT) -- CHICAGO — The Seventh Circuit U.S. Court of Appeals determined that a lower federal court’s discovery sanctions against a hotel owner insured were “an appropriate, proportionate response” to the insured’s failure to produce requested documents as to the hotel’s occupancy and not an abuse of discretion, affirming a lower court’s ruling that there was no coverage owed for the hotel’s damaged air conditioner units because the hotel was vacant at the time of the vandalism and the insurer did not act in bad faith....