Defendant corporation was sued for assisting Village to conceal the release of contaminated well water to its residents. Defendant tendered defense of the suits to its 2 insurers. Cases settled for $18.3 million. One insurer, General Casualty, denied coverage and sued for a declaration that it had no duty to defend or indemnify Defendant for its intentional conduct. Residents filed counterclaim alleging that insurer breached its contract by denying coverage and acted in bad faith. Court properly granted General Casualty's motion for summary judgment on its complaint and on the counterclaim. Residents' complaints failed to allege facts that trigger coverage and duty to defend. General Casualty was not required to indemnify Defendant for settlement and did not act in bad faith. (GRIFFIN, concurring; WALKER, dissenting.)
Illinois Appellate Court
Civil Court
Duty to Defend