Plaintiff filed declaratory judgment action against insurer seeking order declaring that insurer was contractually required to pay or indemnify it for $18 million in costs incurred while defending itself against personal injury claims arising from welding fumes. Neither party actively pursued this litigation. Thus, court did not abuse its discretion by finding the delay caused by insurer did not constitute a waiver fo the right to arbitrate, as insurer's course of conduct was not inconsistent with its right to dispute resolution. Court properly stayed insurance litigation and compelled parties to comply with Section 7 of their 1999 settlement agreement. In resolving parties' dispute over Plaintiff's defense costs, parties must initially determine scope and applicability of the Agreement to the welding fumes claims.(CARTER and O'BRIEN, concurring.)
Illinois Appellate Court
Civil Court
Insurance