The California Supreme Court has set oral argument in State of California v. Continental Insurance Co. for May 30, 2012 at 9:00 a.m. in San Francisco.
This case presents two issues for review by the Court: (1) the so-called “all sums” issue, and (2) “stacking” of policy limits. First, when continuous property damage occurs during the periods of several successive liability policies, can each insurer be liable for all damage both during and outside its policy period, up to the amount of the insurer’s policy limits, or is each insurer only liable for property damage that took place during its policy period? Second, if each insurer can be liable for damage taking place outside its policy period, can the insured “stack” policy limits – that is, can the insured recover the combined limits of successive policies?
Philip R. Matthews and William J. Baron of Duane Morris submitted an amicus curiae brief in the case, on behalf of certain London Market Insurers.