HVAC Co. Says Insurer Can’t Recover Asbestos Defense Costs

By Ben Zigterman (May 16, 2022, 10:05 PM EDT) — An air conditioning company told a Minnesota federal judge that Continental Insurance Co. can’t recover its costs defending the company from asbestos claims, arguing that the parties never agreed to that.

In its motion to dismiss the cost recovery claims from Continental’s suit, Daikin Applied Americas Inc. argued Monday that a 2009 Eighth Circuit decision prevents insurers from recovering defense costs unless that right is reserved in the policy.

“The Eighth Circuit expressly ruled that insurers may not recoup defense costs unless the insurer has reserved such a right in the policy,” Daikin wrote, referencing the appellate court’s decision in Westchester…

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