Fifth Circuit Shops for Implicit Allegations Wrongdoing Against Liquor Store Chain To Avoid Policy Exclusion
The Fifth Circuit Court of Appeals in Spec’s Family Partners, Ltd. v. Hanover Insurance Co. (No. 17-20263, Jun. 25, 2018), afforded a contractual liability exclusion a narrow interpretation to deny an insurer judgment in its favor. The coverage litigation resulted from Hanover Insurance Company’s (Insurer) refusal to pay Spec’s Family Partners’ (Spec’s) litigation costs in connection with a payment card industry (PCI) liability dispute between Spec’s and First Data Merchant Services, LLC (First Data) following a data breach.
The Spec’s credit card network had been…
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