Eastern District of Washington Federal Trial Court finds CERCLA claims may be subject to PIL coverage

Newmont USA Limited v. All American Home Assurance Co., United States District Court for the Eastern District of Washington, Cause No. CV-09-0033-JLQ, March 3, 2011 Order on PIL Motion for Partial Summary Judgment

 

The insurer sought a declaration by the court that the scope of the personal injury liability coverage did not encompass Newmont and Dawn's liability declared in a CERCLA cost recovery action brought by the United States, which only included claims under CERCLA and no common law claims for trespass or nuisance.  The court disagreed and ruled, "the claims filed against the Plaintiffs herein by the United States are analogous to trespass, nuisance, and interference with the use of private occupancy and encompassed with the stated Coverage P for claims of "wrongful entry" or "invasion of the right of private occupancy."

 

Despite the fact the underlying case was resolved at the trial court level and is on appeal, the court found that there was an issue of fact regarding "whether the Plaintiffs in fact committed covered offenses for which [the insurer] is obligated to provide indemnity." 

Code Upgrade Limits Held Unambiguous By Washington Court of Appeals

In Allemand v. State Farm Ins Co., et al, Dkt. no.28954-1 (Div. III, Mar. 03, 2011), Division III of the Washington Court of Appeals ruled that policy provisions in a State Farm Insurance Company homeowners insurance policy unambiguously limited coverage for increased costs of repairs due to changes in the building codes.