Dist. Ct. erred in granting defendant-insurance company's motion for summary judgment in plaintiff-insured's action seeking declaration that defendant's umbrella insurance policy covered underlying negligence claim filed against plaintiff, where plaintiff had acquired property (abandoned laundromat) where injuries had occurred from entity that had defaulted on loan issued by plaintiff. While defendant argued that Foreclosure Exclusion clause in policy barred coverage because plaintiff had controlled said property as "mortgagee in possession," Ct. of Appeals found under Pennsylvania law that there was factual question as to whether plaintiff had actual possession of abandoned laundromat in December of 2010, when injuries occurred, for purposes of applying instant exclusion, where: (1) plaintiff had no contact with subject property after April of 2009, when plaintiff returned deed to laundromat with reminder that defaulting entity was still owner of property; (2) defaulting entity took steps to repair laundromat after April of 2009; and (3) there was issue as to whether plaintiff possessed laundromat with intent to exclude defaulting entity.
Federal 7th Circuit Court
Civil Court
Insurance