HM International, L.L.C. v. Twin City Fire Insurance Co.
The Fifth Circuit Court of Appeals held that settlement paid by insured financial services firm to client as a result of fraudulent wire transfer scheme could be covered under insured's D&O policy because it provided coverage for sums insured was "legally liable to pay" which could include contractual obligations, not just final judgments, and further held that a fact issue existed as to application of the policy's exclusion for "any services for or on behalf of others for a fee."
directors and officers policy, fraudulent wire transfer, claim, legally liable to pay, duty to indemnify, settlement, statute of limitations, services for a fee exclusion
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