Wrongful Acts Alleged in Class Action Based on Corporate Policy Are Not “Related Acts”
By EsqSocial Corporation 30/04/21
The United States District Court for the Southern District of New York has held that an insurer has a duty to defend its insured’s subsidiary in a class action lawsuit that alleges wrongful conduct that occurred prior to the parent’s acquisition of the subsidiary, rejecting the insurer’s argument that the policies’ “Related Acts” definition precluded coverage. Great Am. Ins. Co. v. AIG Specialty Ins. Co., 2021 WL 1268450 (S.D.N.Y. Apr. 6, 2021)....
By: Wiley Rein LLP