The U.S. Court of Appeals for the Eleventh Circuit, reversing a decision by the U.S. District Court for the Southern District of Florida, has ruled that a liability insurer had no duty to defend its insured against a claim for spoliation of evidence.

The case

James Rivera, a professional jockey employed by William P. White Racing Stables, was paralyzed from the neck down by an accident at the Calder Race Track in Miami Gardens, Florida, in November 2008. Rivera said he was riding a two-year-old filly named Flyfly Fly Delilah at full gallop during a workout when the horse suddenly collapsed, taking him to the ground.

After the accident, Rivera sued White Racing, the Calder Race Track, and several veterinarians. Rivera asserted that Flyfly Fly Delilah had not been fit to be exercised or raced due to an injury, which had been covered up through steroids and other medications. He alleged that the negligence of nearly all defendants had caused his injuries.

Rivera, however, did not state a negligence claim against White Racing. Instead, he alleged that White Racing was liable for damages caused by its failure to preserve Flyfly Fly Delilah's remains after the accident so that the horse could be tested for performance-enhancing drugs. In particular, he stated two counts against White Racing: