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Judges rule on Evansville environmental coverage case

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The Indiana Court of Appeals has determined a Marion County judge properly granted summary judgment in favor of a group of insurance companies because the city of Evansville was seeking coverage for projects aimed at preventing future sewer discharges, rather than remediating past discharges, which wouldn’t be covered by the policies.

The case involves Evansville’s century-old sewer system that partially drained into local waterways and led to pollution discharge permit disagreements in 2005 with the Environmental Protection Agency and Indiana Departmental of Environmental Management. The city sued in 2007 seeking declaratory judgment against some of its insurers that they must provide coverage under the policies. The trial court eventually concluded the insurance policies at issue did not provide any coverage for the plaintiffs in the alleged liability, including fines and penalties as a result of the government’s actions against the city.

In analyzing the case, the appellate judges relied on the Indiana Supreme Court’s decision in Cinergy Corp. v. Associated Elec. & Gas Ins. Services, Inc., 865 N.E.2d 571 (Ind. 2007), known as “Cinergy I”, and the line of subsequent Cinergy cases from the Court of Appeals in the years following.

In City of Evansville and Evansville Water and Sewer Utility v. United States Fidelity and Guaranty Company, et al., No. 49A02-1104-PL-375, Judge Michael Barnes wrote that Cinergy I governs this action and precludes the city’s claim as a matter of law. The judges rejected and found “immaterial” Evansville’s claim that Cinergy I is distinguishable from this current case.

“The holding of Cinergy I is that prevention of future environmental harm, rather than remediation of past contamination, is not an ‘occurrence’ under insurance policies, and the policies at issue here contain similar provisions,” Barnes wrote. “The differences between the instant action and Cinergy I do not impact that ultimate holding.”
 

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  1. Someone off their meds? C'mon John, it is called the politics of Empire. Get with the program, will ya? How can we build one world under secularist ideals without breaking a few eggs? Of course, once it is fully built, is the American public who will feel the deadly grip of the velvet glove. One cannot lay down with dogs without getting fleas. The cup of wrath is nearly full, John Smith, nearly full. Oops, there I go, almost sounding as alarmist as Smith. Guess he and I both need to listen to this again: https://www.youtube.com/watch?v=CRnQ65J02XA

  2. Charles Rice was one of the greatest of the so-called great generation in America. I was privileged to count him among my mentors. He stood firm for Christ and Christ's Church in the Spirit of Thomas More, always quick to be a good servant of the King, but always God's first. I had Rice come speak to 700 in Fort Wayne as Obama took office. Rice was concerned that this rise of aggressive secularism and militant Islam were dual threats to Christendom,er, please forgive, I meant to say "Western Civilization". RIP Charlie. You are safe at home.

  3. It's a big fat black mark against the US that they radicalized a lot of these Afghan jihadis in the 80s to fight the soviets and then when they predictably got around to biting the hand that fed them, the US had to invade their homelands, install a bunch of corrupt drug kingpins and kleptocrats, take these guys and torture the hell out of them. Why for example did the US have to sodomize them? Dubya said "they hate us for our freedoms!" Here, try some of that freedom whether you like it or not!!! Now they got even more reasons to hate us-- lets just keep bombing the crap out of their populations, installing more puppet regimes, arming one faction against another, etc etc etc.... the US is becoming a monster. No wonder they hate us. Here's my modest recommendation. How about we follow "Just War" theory in the future. St Augustine had it right. How about we treat these obvious prisoners of war according to the Geneva convention instead of torturing them in sadistic and perverted ways.

  4. As usual, John is "spot-on." The subtle but poignant points he makes are numerous and warrant reflection by mediators and users. Oh but were it so simple.

  5. ACLU. Way to step up against the police state. I see a lot of things from the ACLU I don't like but this one is a gold star in its column.... instead of fighting it the authorities should apologize and back off.

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