Insurance Coverage chair Ron Schiller and shareholder Bonnie Hoffman spoke with Law360 about some of the most notable cases involving specialty lines insurance policies from 2024. Ron discussed a Delaware Superior Court ruling where the court declined to enforce a no-auction clause in a D&O policy covering certain real estate partners under the umbrella of an equity firm, noting that, “It doesn’t make sense from an insurer’s perspective for a policyholder to bring an action when not all parts of it can be decided at one time.”
Bonnie commented on a second Fourth Circuit appeal brought by Towers Watson over what constitutes an acquisition within the definition of a bump-up exclusion. Bonnie observed that, “The trend seems to be for finding the bump-up exclusion to apply. And some of the later cases have limited the cases finding that it did not apply, or limited to the facts of those cases.”
