PGIC Seeks Summary Judgment in $75.7M Dispute Involving Stock Purchase Agreement

BOSTON — Pennsylvania General Insurance Co. (PGIC) has moved for summary judgment in a $75.7 million action accusing it of breaching a stock purchase agreement by failing to pay or administer claims under policies, arguing that any obligations it once held were novated, waived, and/or modified once it was sold as a clean shell in 2012.

In a Feb. 25 motion filed before Chief Judge F. Dennis Saylor of the U.S. District Court for the District of Massachusetts, PGIC argues that plaintiff Sparta Insurance Co. well understood that OneBeacon Insurance Co. (OBIC) was its sole protector and that PGIC was …