West Bend Mutual Ins. Co. v. U.S. Fidelity and Guaranty Co.

Dist. Ct. did not err in granting defendants' motion for summary judgment in breach of contract action alleging that defendants improperly declined to defend insured in class action alleging that gas from insured's gas station leaked out of underground tank and contaminated groundwater. Exclusion in defendant's policy, that precluded coverage for property damages caused by pollutants that included motor fuel, applied to gasoline leak at issue in underlying lawsuit. Ct. rejected plaintiff's claim that subject exclusion was required to specifically mention gasoline in order for exclusion to apply. Ct. also found that umbrella policy also did not apply where products-hazard clause in umbrella policy covered only knowing market transactions and abandoned products, while underlying lawsuit concerned accidental leak. (Dissent filed.)