In a recent legal development that could be crucial for understanding insurer liability in similar cases, a Nationwide insurance unit has received affirmation from the Ninth Circuit that it doesn’t need to cover a car rental franchise that was accused of trademark infringement by its franchisor. The Ninth Circuit’s ruling was predicated on the understanding that the underlying lawsuit had not alleged a personal and advertising injury which would trigger the insurer’s duty to defend.
A deeper examination of the case reveals that the affirmation from the Ninth Circuit plays an important role in delineating the boundaries of insurer responsibilities when it comes to intellectual property rights disputes. It also potentially offers an important precedent for future cases that may run along similar lines.
For a more detailed look into the case, Law360 provides an in-depth exploration of the intricacies involved in the judgement and its potential far-reaching implications.