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Articles Posted in California

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California and New York to Open One-Year Windows Reviving Time-Barred Adult Sexual Assault Claims

Four months ago, New York Governor Kathy Hochul signed the Adult Survivors Act (ASA) (S.66A/A.648A), creating a one-year window, beginning November 24, 2022, for adult survivors of sexual assault to bring civil claims against their alleged attackers which otherwise would have been time barred. On September 19, 2022, California Governor…

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California Federal Court Offers Clear Pathway to Coverage for Coronavirus/COVID-19-Related Business Interruption and Civil Authority Losses

Since the beginning of the COVID-19 business interruption insurance coverage battles, insurers have labored to pour cold water on these claims—often hiring the biggest and wealthiest law firms in America to crush hair salons, motels, restaurants and bars represented by solo practitioners or lawyers with little prior insurance coverage experience.…

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Ninth Circuit Rejects “Improper Erosion” Argument, Rejects Excess Carrier’s Refusal to Acknowledge Exhaustion of Underlying Policies

Last month, the U.S. Court of Appeals for the Ninth Circuit awarded Pillsbury client Northrop Grumman a significant appellate victory, reversing an adverse decision from the U.S. District Court for the Central District of California on a question of first impression within the circuit. The court’s decision in AXIS Reinsurance…

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California Bad Faith Claims Cannot Be “Slapped”

The California Court of Appeal recently disposed of a novel attack on bad faith law launched by Zurich American Insurance Company. In Miller Marital Deduction Trust, et al. v. Zurich American Insurance Company, 2019 DJDAR (October 23, 2019), Zurich was called upon to defend a cross complaint arising in connection…

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California Supreme Court Sides with Policyholder in Critical Notice-Prejudice Case

In November 2018, we noted that the California Supreme Court had agreed to resolve Pitzer College v. Indian Harbor Insurance Company, a case that hinged on the importance and application of California’s notice-prejudice rule. On August 29, 2019, the court issued its decision: a policyholder-friendly ruling that opposes technical forfeitures…

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California Puts Teeth into Confidentiality Provisions. Lawyer Gets Bitten.

Disputed insurance claims often end in confidential settlements, as do many insured liabilities.  But does it matter if lawyers sign a settlement agreement approving “as to form and content”? Last month, the California Supreme Court answered that question with a resounding “Yes!” In Monster Energy Company v. Schechter, a unanimous…

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9th Circuit Seeks Guidance from California High Court on the Duty to Defend in TCPA Cases

Does the coverage in commercial general liability (CGL) policies for violations of the right to privacy extend to unwanted intrusions, or is it limited to the disclosure of personal information to a third party? On a recent request for clarification from the U.S. Court of Appeals for the Ninth Circuit…

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California Supreme Court to Decide Whether Its “Notice-Prejudice” Rule Supersedes Competing Law from Other States

Before a court can resolve a dispute, it often needs to determine what law applies to that dispute. In certain insurance cases, that question will appear to have an easy answer. Some policies include explicit choice-of-law provisions indicating that they should be interpreted and applied according to the laws of a…

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CGL Insurer Can’t Avoid Covering Employer for Negligent Hiring of Employee Who Committed Intentional Wrong, California Supreme Court Says

By statute, California law holds that willful misconduct—where an insured intends to cause someone harm—is not insurable as a matter of public policy. For years, insurance companies have sought to expand this prohibition to exclude coverage where anyone acts deliberately, regardless of the intent of the insured, or the insured’s…

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Insurance Coverage for Mudslides Shifts into Focus

As James Taylor might say, I’ve seen fire and I’ve seen rain, but will my insurance cover the damage? California has certainly seen plenty of fire and rain. In the aftermath of the state’s most recent devastating events, damages are estimated to top $5 billion. As Californians file insurance claims…