Majority: No Coverage For Legal Expenses Incurred Without Insurer’s Approval

Mealey's (January 10, 2017, 1:44 PM EST) -- ATLANTA — A majority of the 11th Circuit U.S. Court of Appeals ruled Jan. 9 that an insurer has no duty to pay an insured’s $405,989 in pre-tender legal expenses incurred in defending a copyright infringement lawsuit, affirming a lower court’s finding that Florida's claims administration statute (CAS) does not control because the insurer relied on an exclusion and not a coverage defense in its refusal to pay the expenses (EmbroidMe.com, Inc. v. Travelers Property Casualty Company of America, No. 14-10616, 11th Cir.; 2017 U.S. App. LEXIS 368)....