Westfield Insurance Group v. J.P.'s Wharf, Ltd.

Summary

The Delaware Supreme Court considered whether a commercial insurance policy's wrongful-eviction coverage applied to expenses arising from racial discrimination claims by restaurant patrons who were refused service and ordered to leave. The court held that the provision requires the claimant to have a possessory interest in the premises, which the patrons lacked, and therefore reversed the Superior Court's judgment finding coverage.

Holdings

1. The wrongful-eviction clause is clear and unambiguous.
2. The wrongful-eviction provision does not cover expenses incurred in resolving racial-discrimination complaints by restaurant patrons who had no possessory interest in the premises.

Questions Presented

1. Whether the insurance policy's wrongful-eviction provision covers expenses arising from racial-discrimination claims by restaurant patrons who were refused service and ordered to leave.
2. Whether the phrase requiring eviction from premises that a person occupies limits coverage to claimants with a possessory interest in the premises.

Disposition

reversed