Calif. Court Affirms Ruling in Favor of Insurance Company

SAN FRANCISCO -- A California appellate court has upheld a ruling that found an insurance company currently involved in a conservatorship did not have an obligation to share in defense costs relating to underlying benzene lawsuits. Jones v. Golden Eagle Insurance Corp., No. A129089 (Calif. 1st Dist. Ct. App., Div. 1).

In the Nov. 28 opinion, the California 1st District Court of Appeal cited the unique circumstances of the case, which involves a benzene defendant in bankruptcy and one of its insurers, under the control of the Insurance Commissioner.

According to the opinion, Calsol Inc. was named as a defendant …