R.T. Vanderbilt Co. v. Continental Casualty Co.

273 Conn. 448 (2005) · Supreme Court of Connecticut · April 26, 2005

Summary

The Connecticut Supreme Court considered whether an EPA potentially responsible party letter issued under CERCLA and the Resource Conservation and Recovery Act constitutes a "suit" under comprehensive general liability insurance policies. The court held that such a letter is a suit triggering the insurer's duty to defend because the policy term was ambiguous and the letter carried immediate legal consequences under CERCLA. The court reversed the trial court's summary judgment in favor of the insurer.

Holdings

  1. An EPA potentially responsible party letter issued under CERCLA constitutes a suit within the meaning of standard comprehensive general liability insurance policy language.
  2. A PRP letter triggers the insurer's duty to defend when its allegations potentially fall within the policy coverage; the duty arises without regard to the ultimate merits of indemnity coverage.
  3. The court would not direct summary judgment for the insured because unresolved issues concerning the 1989 settlement agreement, release, and policy exclusion required further proceedings.

Questions Presented

  1. Whether an EPA potentially responsible party letter issued under CERCLA and the Resource Conservation and Recovery Act constitutes a suit within the meaning of comprehensive general liability insurance policies.
  2. Whether such a PRP letter triggers the insurer's duty to defend.
  3. Whether the appellate court should direct entry of summary judgment for the insured or remand for further proceedings concerning the effect of a prior settlement agreement and release.

Disposition

reversed_and_remanded

Cases Cited (25)

  • Allstate Ins. Co. v. Barron, 269 Conn. 394, 405-406, 848 A.2d 1165 (2004)(followed)
  • Galgano v. Metropolitan Property & Casualty Ins. Co., 267 Conn. 512, 519, 838 A.2d 993 (2004)(followed)
  • O'Brien v. United States Fidelity & Guaranty Co., 235 Conn. 837, 843, 669 A.2d 1221 (1996)(followed)
  • Hammer v. Lumberman's Mutual Casualty Co., 214 Conn. 573, 584, 573 A.2d 699 (1990)(followed)
  • Buell Industries, Inc. v. Greater New York Mutual Ins. Co., 259 Conn. 527, 539-546, 791 A.2d 489 (2002)(distinguished)
  • Beach v. Middlesex Mutual Assurance Co., 205 Conn. 246, 250-51, 532 A.2d 1297 (1987)(followed)
  • Wentland v. American Equity Ins. Co., 267 Conn. 592, 600, 840 A.2d 1158 (2004)(followed)
  • Keithan v. Massachusetts Bonding & Ins. Co., 159 Conn. 128, 139, 267 A.2d 660 (1970)(followed)
  • Missionaries of the Co. of Mary, Inc. v. Aetna Casualty & Surety Co., 155 Conn. 104, 114, 230 A.2d 21 (1967)(followed)
  • Michigan Millers Mutual Ins. Co. v. Bronson Plating Co., 445 Mich. 558, 567-75, 519 N.W.2d 864 (1994)(followed)

Showing top 10 of 25.

Cited In (0)

No citing cases on record yet.

Download CaseDownload Case DataDownload Case and DataDownload AI Instructions

Court Document

Open PDF
Loading document…

More from Connecticut Supreme Court