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Insurer doesn’t have to cover cleanup of California sites

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Relying on California law and a case from 2006, the Indiana Court of Appeals affirmed that an insurer of former film-processing sites has no obligation to indemnify Thomson Inc. for the remediations of three California locations.

Thomson acquired the assets of Technicolor Inc., which included three contaminated former film-processing sites in Hollywood, North Hollywood and West Drayton, Calif. Local environmental authorities ordered Thomson to cleanup the sites. Remediation has already cost more than $6.5 million for the sites.

Thomson sought indemnification from Continental, which insured Technicolor from 1969 to 1974. It claims the umbrella policy from Continental covers losses from orders from administrative agencies; Continental claimed the policy is limited to losses resulting from courtroom litigation.

Marion Superior Judge Michael Keele agreed with Continental’s argument, which the Court of Appeals upheld. Relying on California insurance law and CDM Investors v. Travelers Cas. & Sur. Co., 139 Cal. Rptr. 3d 669, 674 (Cal. Ct. App. 2006), the judges found that the policy’s definition of “ultimate net loss” does not expand the general definition of “damages” so that administrative orders are covered.

“Following the California Court of Appeal’s decision in CDM Investors, we conclude that the Umbrella Policy limits Continental’s indemnity obligations to ‘damages.’ Consequently, Continental has no obligation to indemnify Thomson for the remediations of the Hollywood, North Hollywood, and West Drayton sites as a matter of law,” Judge Cale Bradford wrote in Thomson, Inc., n/k/a Technicolor USA, Inc., Technicolor, Inc., and Technicolor Limited v. Continental Casualty Co.; Travelers Casualty & Surety Co. & Travelers Property Casualty Co. of Am., et al., 49A05-1201-PL-24. 

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  1. From his recent appearance on WRTV to this story here, Frank is everywhere. Couldn't happen to a nicer guy, although he should stop using Eric Schnauffer for his 7th Circuit briefs. They're not THAT hard.

  2. They learn our language prior to coming here. My grandparents who came over on the boat, had to learn English and become familiarize with Americas customs and culture. They are in our land now, speak ENGLISH!!

  3. @ Rebecca D Fell, I am very sorry for your loss. I think it gives the family solace and a bit of closure to go to a road side memorial. Those that oppose them probably did not experience the loss of a child or a loved one.

  4. If it were your child that died maybe you'd be more understanding. Most of us don't have graves to visit. My son was killed on a state road and I will be putting up a memorial where he died. It gives us a sense of peace to be at the location he took his last breath. Some people should be more understanding of that.

  5. Can we please take notice of the connection between the declining state of families across the United States and the RISE OF CPS INVOLVEMENT??? They call themselves "advocates" for "children's rights", however, statistics show those children whom are taken from, even NEGLIGENT homes are LESS likely to become successful, independent adults!!! Not to mention the undeniable lack of respect and lack of responsibility of the children being raised today vs the way we were raised 20 years ago, when families still existed. I was born in 1981 and I didn't even ever hear the term "CPS", in fact, I didn't even know they existed until about ten years ago... Now our children have disagreements between friends and they actually THREATEN EACH OTHER WITH, "I'll call CPS" or "I'll have [my parent] (usually singular) call CPS"!!!! And the truth is, no parent is perfect and we all have flaws and make mistakes, but it is RIGHTFULLY OURS - BY THE CONSTITUTION OF THIS GREAT NATION - to be imperfect. Let's take a good look at what kind of parenting those that are stealing our children are doing, what kind of adults are they producing? WHAT ACTUALLY HAPPENS TO THE CHILDREN THAT HAVE BEEN RIPPED FROM THEIR FAMILY AND THAT CHILD'S SUCCESS - or otherwise - AS AN ADULT.....

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