Reinsurers Denied Summary Judgment in Mass. Pollution Coverage Action

BOSTON — A Massachusetts federal judge has denied London Market Reinsurers (LMR)’s motion for summary judgment on certain issues in a dispute over reinsurance coverage for Lamorak Insurance Co.’s settlement of underlying pollution claims asserted against Olin Corp.

In a Jan. 20 order, Judge Nathaniel M. Gorton of the U.S. District Court for the District of Massachusetts further ruled that English law applies to the dispute, and that the parties should be realigned so that Lamorak is the plaintiff because it bears the burden of proof.

Lamorak issued three umbrella policies to chemical manufacturer Olin in the 1970s. The LMRs …