On January 28, a California federal judge issued a summary judgment ruling that Federal Insurance Company (a Chubb unit) has no duty to defend investment firm TriPacific Capital Advisors LLC in an $8.5 million suit because the contract exclusion in Chubb’s policy precludes coverage for the firm’s liabilities stemming from contractual agreements.
U.S. District Judge James V. Selna of California’s Central District determined that former TriPacific employee Tom Mahathirath’s claims against TriPacific, its affiliated entity, and its president arose out of an agreement over his role, compensation, and bonus calculation.