STORY FROM: Reinsurance & Arbitration

2nd Cir. Orders Parties to Submit Briefing on Occurrence Liability Cap Issue in Reinsurance Dispute

ALBANY, N.Y. - The 2nd Circuit U.S. Court of Appeal has ordered the parties in a dispute concerning a reinsurance contract's per occurrence liability cap to submit briefing as to how the New York high court's determination of a certified question applies to the case.

On Jan. 26, the appellate court ordered the briefing following the New York Court of Appeal's decision that its ruling in Excess Insurance Co. v. Factory Mutual does not impose a rule that a per occurrence liability cap limits the total amount available under the contract, including defense costs.

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