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Favourable decision for lawyers Matthew Kuhl and Donald Chernichen in Intact Insurance Company v. Clauson Cold & Cooler Ltd.

13.12.18

Litigation lawyers Matthew Kuhl and Donald J. Chernichen received a favourable decision from Justice Nancy Dilts of the Court of Queen's Bench on December 7, 2018 in Intact Insurance Company v. Clauson Cold & Cooler Ltd., 2018 ABQB 997.

Intact had denied coverage to Clauson for its costs of defending two claims against Clauson for damages to goods stored at a cold storage warehouse. Clauson brought an application to require Intact to defend it in both claims. Clauson succeeded in the first instance, obtaining an Order from Master Farrington directing Intact to defend it in both claims and requiring Intact to reimburse Clauson for its defence costs incurred to date. Intact's appeal was dismissed. Justice Dilts held that Intact's defence obligation was triggered because the damages claimed in both actions had the potential to trigger an indemnity provision under a consequential damages form within the policy that provided coverage for damages to third party goods stored at Clauson's warehouse. Master Farrington's Order for reimbursement was not disturbed.

Clauson was represented by BD&P in the first instance and on appeal. The full decision can be found here.