STORY FROM: Superstorm Sandy Insurance Litigation

Policy’s Suit Limitations Clause Bars Superstorm Sandy Action, Del. Judge Rules

WILMINGTON, Del. — A policy’s suit limitations clause bars a lawsuit demanding more than $3 million in Superstorm Sandy insurance proceeds, which the policyholder filed more than two years after the storm occurred, a Delaware judge has ruled, noting that such clauses are allowed under state law.

On April 27, Judge Eric M. Davis of the Delaware Superior Court further held that the clause is unambiguous and is not repugnant to Delaware public policy.

Commercial property in New York owned by Bedrock Leasing Corp. was insured for property damage under a policy issued by Lexington Insurance Co. The policy provided ...

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