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Perspective

Apr. 20, 2010

To Defend or Not to Defend, That Is the Question

Joan Cotkin of Nossaman says two recent cases about the rights and obligations of defending insurers under different circumstances send a common message: what is fundamentally fair seems to win out.

By Joan M. Cotkin

Two recent cases published in March 2010 examine the rights and obligations of defending insurers under two different circumstances. In one, a defending insurer was entitled to act to protect itself against a "set-up" judgment (where the insured's assignee seemed to be over-reaching). In the other, a defending insurer was still in the hot seat because it ignored its obligations under a higher limits policy hoping to insula...

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