ILNews

COA adopts 'site-specific' approach

Back to TopE-mailPrintBookmark and Share

For the first time, the Indiana Court of Appeals adopted a site-specific approach to rule on an insurance case with multiple policies in several states. The appellate court had been following a uniform-contract-interpretation approach when ruling on choice of law questions in contract actions.

Since 1978, the Court of Appeals has generally followed the Restatement (Second) of Conflict of Laws (1971), when confronted with a choice of law issue. But in analyzing its approach of the uniform-contract-interpretation in National Union Fire Insurance Co. of Pittsburgh, PA., et al. v. Standard Fusee Corp., No. 49A04-0811-CV-665, the judges decided the site-specific approach should be used.

National Union Fire and other insurers of Standard Fusee Corp. appealed partial summary judgment entered for SFC, declaring the insurers' duty to defend in environmental actions involving sites in California and Indiana. The trial court applied Indiana substantive law to interpret the insurance policies, instead of Maryland law, where SFC is headquartered and the insurance premiums were paid.

The appellate judges examined caselaw and the Restatement regarding choice of law issues to determine the site-specific approach should be followed in situations like the one in the instant case. The uniform-contract-interpretation approach says the law of a single forum governs the interpretation of coverage under a casualty insurance policy for multi-state claims arising from environmental damage in multiple jurisdictions. With that approach, the COA has held the state with the most sites is the principal location of the insured risk.

Under the site-specific approach, the courts would be inclined to treat a single policy insuring multiple sites as single policies insuring each individual risk, and if an issue arose at one site, the policy would be interpreted under the law of that state.

"To follow the uniform-contract-interpretation approach and apply the law of a single state to a dispute involving several states is to minimize the natural interests of the other states in the determination of the issues arising under the insurance contract," wrote Judge James Kirsch.

Following the uniform-contract-interpretation approach would be contrary to the general principles listed in Section 6 and the rationale behind Section 193 of the Restatement, he explained.

Since Indiana has the most significant relationship with the contamination, Indiana law should apply here; California law should apply to the California site, wrote Judge Kirsch. The COA remanded for the trial court to apply California law to any issues raised by the insurers that relate to that site.

The appellate court also affirmed the insurers had reasonable notice of the environmental proceedings in Indiana and California; the insurance policies' pollution exclusions are ambiguous and unenforceable under American States Ins. Co. v. Kiger, 662 N.E.2d 945 (Ind. 1996), and don't relieve their duty to defend; and that SFC's entry into Indiana's voluntary remediation program constitutes a suit for purposes of the insurance policies.

ADVERTISEMENT

Sponsored by
ADVERTISEMENT
Subscribe to Indiana Lawyer
  1. Call it unauthorized law if you must, a regulatory wrong, but it was fraud and theft well beyond that, a seeming crime! "In three specific cases, the hearing officer found that Westerfield did little to no work for her clients but only issued a partial refund or no refund at all." That is theft by deception, folks. "In its decision to suspend Westerfield, the Supreme Court noted that she already had a long disciplinary history dating back to 1996 and had previously been suspended in 2004 and indefinitely suspended in 2005. She was reinstated in 2009 after finally giving the commission a response to the grievance for which she was suspended in 2004." WOW -- was the Indiana Supreme Court complicit in her fraud? Talk about being on notice of a real bad actor .... "Further, the justices noted that during her testimony, Westerfield was “disingenuous and evasive” about her relationship with Tope and attempted to distance herself from him. They also wrote that other aggravating factors existed in Westerfield’s case, such as her lack of remorse." WOW, and yet she only got 18 months on the bench, and if she shows up and cries for them in a year and a half, and pays money to JLAP for group therapy ... back in to ride roughshod over hapless clients (or are they "marks") once again! Aint Hoosier lawyering a great money making adventure!!! Just live for the bucks, even if filthy lucre, and come out a-ok. ME on the other hand??? Lifetime banishment for blowing the whistle on unconstitutional governance. Yes, had I ripped off clients or had ANY disciplinary history for doing that I would have fared better, most likely, as that it would have revealed me motivated by Mammon and not Faith. Check it out if you doubt my reading of this, compare and contrast the above 18 months with my lifetime banishment from court, see appendix for Bar Examiners report which the ISC adopted without substantive review: https://www.scribd.com/doc/299040839/2016Petitionforcert-to-SCOTUS

  2. Wow, over a quarter million dollars? That is a a lot of commissary money! Over what time frame? Years I would guess. Anyone ever try to blow the whistle? Probably not, since most Hoosiers who take notice of such things realize that Hoosier whistleblowers are almost always pilloried. If someone did blow the whistle, they were likely fired. The persecution of whistleblowers is a sure sign of far too much government corruption. Details of my own personal experience at the top of Hoosier governance available upon request ... maybe a "fake news" media outlet will have the courage to tell the stories of Hoosier whistleblowers that the "real" Hoosier media (cough) will not deign to touch. (They are part of the problem.)

  3. So if I am reading it right, only if and when African American college students agree to receive checks labeling them as "Negroes" do they receive aid from the UNCF or the Quaker's Educational Fund? In other words, to borrow from the Indiana Appellate Court, "the [nonprofit] supposed to be [their] advocate, refers to [students] in a racially offensive manner. While there is no evidence that [the nonprofits] intended harm to [African American students], the harm was nonetheless inflicted. [Black students are] presented to [academia and future employers] in a racially offensive manner. For these reasons, [such] performance [is] deficient and also prejudice[ial]." Maybe even DEPLORABLE???

  4. I'm the poor soul who spent over 10 years in prison with many many other prisoners trying to kill me for being charged with a sex offense THAT I DID NOT COMMIT i was in jail for a battery charge for helping a friend leave a boyfriend who beat her I've been saying for over 28 years that i did not and would never hurt a child like that mine or anybody's child but NOBODY wants to believe that i might not be guilty of this horrible crime or think that when i say that ALL the paperwork concerning my conviction has strangely DISAPPEARED or even when the long beach judge re-sentenced me over 14 months on a already filed plea bargain out of another districts court then had it filed under a fake name so i could not find while trying to fight my conviction on appeal in a nut shell people are ALWAYS quick to believe the worst about some one well I DID NOT HURT ANY CHILD EVER IN MY LIFE AND HAVE SAID THIS FOR ALMOST 30 YEARS please if anybody can me get some kind of justice it would be greatly appreciated respectfully written wrongly accused Brian Valenti

  5. A high ranking Indiana supreme Court operative caught red handed leading a group using the uber offensive N word! She must denounce or be denounced! (Or not since she is an insider ... rules do not apply to them). Evidence here: http://m.indianacompanies.us/friends-educational-fund-for-negroes.364110.company.v2#top_info

ADVERTISEMENT