Ninth Circuit Revives Office Depot’s Coverage Battle with AIG

On May 21, 2018, in an unpublished memorandum opinion, Office Depot, Inc. v. AIG Specialty Ins., Co., FKA American International Specialty Lines Ins. Co., — Fed.Appx. —-, 2018 WL 2296036, the Ninth Circuit reversed a trial court’s grant of summary judgment to an insurer on both the duty to defend and the duty to indemnify a suit brought under California False Claims Act (“CFCA”), Cal. Gov’t. Code § 12650 (“CFCA”). The Court held that California Insurance Code Section 533 did not preclude insurance coverage of CFCA claims as a matter of law.

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