The three-judge appeals board noted that the district court has thus "not yet done the case-specific analysis required to resolve a duty-to-defend dispute. The panel sent the cases back to the district court to determine which cases Continental will have to defend. (Credit: Dan Moore/Getty Images)
Overturning a lower court, the Eighth Circuit ruled Continental Insurance Co., a CNA Financial Corp. unit, is not necessarily obligated to defend several asbestos lawsuits. However, the circuit court left it up to a lower court to determine which cases the insurer does have a duty to defend.
From January 1, 1967, to January 1, 1982, Continental provided comprehensive general liability insurance under a series of policies to McQuay Inc., known as McQuay-Perfex, which allegedly sold some products containing asbestos. Each of the insurance policies contained the same language requiring the insurer to defend any suit against McQuay-Perfex seeking damages due to covered bodily injury even if the allegations are groundless, false or fraudulent.
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