No “theft” occurred where the police obtained a search warrant, seized and later destroyed the insured’s marijuana. ( Barnett v. State Farm General Ins. Co. (2011) 200 Cal.App.4th 536) Facts Greg Barnett grew numerous marijuana plants in the backyard of … Read More

After a default is entered against an insured, a liability insurer can intervene in the lawsuit in order to contest both liability and damages, even though the insured itself is procedurally barred from litigating those issues. ( Western Heritage Ins. … Read More

A policy that covered expenses and lost profits arising from the recall or withdrawal of a food product was not triggered where the insured’s errors did not actually cause an E. coli outbreak or a subsequent government product advisory. ( … Read More

A “claims made” directors and officers liability policy did not provide coverage for a claim that was made during the policy period where a claim involving “interrelated wrongful acts” was first made before the policy period. ( Feldman v. Illinois … Read More

A commercial general liability policy’s exclusion for violation of “intellectual property rights” precluded coverage for an insured’s alleged misappropriation of the claimant’s image and likeness. ( Aroa Marketing, Inc. v. Hartford Insurance Company of the Midwest (2011) WL 3672295) Facts … Read More

A first-party “pollution” exclusion eliminated coverage where a contractor caused the release of asbestos inside and outside a building. ( The Villa Los Alamos Homeowners Assn. v. State Farm General Insurance Company (2011) WL 3586475) Facts The Villa Los Alamos … Read More

A general liability insurer had no duty to defend or indemnify its insured against a suit seeking civil penalties and injunctive relief arising from the insured’s alleged violation of the California Safe Drinking Water and Toxic Enforcement Act of 1986. … Read More

A commercial general liability policy’s exclusion for “condominium and townhouse projects” precluded coverage for an insured’s work on a condominium project, even though the project consisted of free-standing residential units that resembled detached single-family homes. ( California Traditions, Inc. v. … Read More

An insured’s deliberate act that caused unintended injury to the claimant was not an “occurrence,” or “accident,” within the meaning of a liability policy. ( State Farm General Insurance Company v. Frake (2011) WL 2714179) Facts John King and Patrick … Read More

A general liability insurer had no duty to reimburse its insureds, who were licensed attorneys, for the time they spent defending themselves in a case brought by a third party. ( Richards v. Sequoia Ins. Co . (2011) 195 Cal.App.4th … Read More