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Case Citations [1] (February 2024)

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THE AMERICAN


LAW


INSTITUTE


                                    Fall 2024 Citations



                       LIABILITY INSURANCE



             CHAPTER 1.   BASIC  LIABILITY  INSURANCE CONTRACT RULES

                               TOPIC  1. INTERPRETATION

§ 4. Ambiguous Terms

S.D.Miss.2022. Com (a) quot. in sup. Insured sued insurer, seeking a declaratory judgment that insurer
was obligated to defend and indemnify insured under a directors and officers liability policy against
complaints filed by two cities that sought damages resulting from insured's alleged discharge or disposal
of toxic industrial waste in the cities' sewer systems. This court granted insurer's motion for summary
judgment, holding that insurer had no duty to defend or indemnify insured against the underlying
lawsuits under the policy's pollution exclusion. The court looked to the explanation in Restatement of
the Law of Liability Insurance § 4 on what constituted an ambiguous policy term and concluded that the
pollution exclusion unambiguously excluded coverage for the loss claimed by insured relating to the
underlying lawsuits. Gold Coast Commodities, Inc. v. Travelers Casualty and Surety Company of
America, 644 F.Supp.3d 304, 313.

















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          For earlier citations, see the Appendices, Supplements, or Pocket Parts, if any, that correspond to the subject matter under examination.

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