Judge Grants Stay In Insurer’s Bid For No Duty To Indemnify Over Rescinded Policy

Mealey's (April 25, 2023, 10:45 AM EDT) -- SAN JOSE, Calif.— A California federal judge granted insureds’ request for a stay in an insurer’s lawsuit seeking a declaration that a directors and officers (D&O) insurance policy is rescinded because of the insureds’ material misrepresentations or a declaration that it has no duty to indemnify or defend in an underlying action, finding that discovery should be stayed until resolution of the underlying proceedings due to “the potential overlap in this rescission claim.”...