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The Court of Appeal confirms the insurer's profit against the manufacturer



A federal appeals court upheld a lower court ruling in favor of a group of insurers Tuesday in a lawsuit filed by a Pittsburgh manufacturing company stating that the lawsuit had been filed too late.

Allegheny Ludlum LLC, now known as Allegheny Technologies Inc., along with other manufacturers, faced hundreds of personal injury claims stemming from alleged exposures to toxic chemicals from 1964 to 2002 at a plant in Alabama that had purchased some of its products, according to the complaint in Allegheny Ludlum LLC v. Liberty Mutual Insurance Co. et al.

The company filed a lawsuit in the U.S. District Court in Pittsburgh in 2017, claiming insurance coverage for its defense and damages costs in the case.

The district court ruled in favor of the insurers and was upheld by a unanimous three-judge appellate court panel in a brief opinion. The restrictions had expired for its declaratory judgment and bad faith claims against entities of Liberty Mutual Group Inc. and Hartford Financial Services Group Inc. "The district court invoked the absence of a covered 'event' according to the policy," the verdict said.

"We do not need to determine if there is a covered occurrence because the USF & G pollution provision clearly excludes coverage for bodily injury that" would not have occurred without exposure to pollutants, "it says.

"It is clear that the plaintiffs' allegations stemmed from their exposure to hexavalent chromium in welding fumes and that the district court correctly identified these vapors as contaminants within the scope of the exclusion of contaminants," it stated and confirmed the lower court.

Attorn eys in the case. had no comment or did not respond to request for comment.

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