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Texas Disposal Systems, Inc. v. FCCI Insurance Co.

Court: 5th Cir  05/05/2021  Fifth Circuit Affirms Ruling for Insurers in Duty to Defend Dispute Arising out of Auto Accident, Subsequent Settlement

The court found that the primary insurer adhered to the terms of a settlement under which it timely paid its policy limits and withdrew from the insured's defense, and the excess insurer had no duty to defend and exercised its right not to defend the insured; therefore, the excess insurer did not breach its contract or owe extra-contractual damages to its insured.

automobile liability insurance policy, insurance tower, duty to defend, right to defend, breach of contract, termination of defense, settlement, exhaustion, policy modification, assumption of defense, waiver, extra-contractual claims, Menchaca, motion to extend discovery, prejudice

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