Federal-Mogul obtains summary judgment on $25 million time element (business interruption) claim in Thailand flood insurance dispute
Clients Federal-Mogul Corporation
Jones Day represents Federal-Mogul Corporation in the United Stated District Court for the Eastern District of Michigan. On October 8, 2015, the court granted Federal-Mogul's motion for partial summary judgment and denied the cross-motion of the Insurance Company of the State of Pennsylvania (an AIG company). The court held that, even if a "High Hazard Limit for Flood" applied to the Federal-Mogul loss, that limit does not cut short Federal-Mogul's $25 million business interruption loss that resulted from flood but was not within the definition of "flood" in the policy.
Federal-Mogul Corporation v. Insurance Company of the State of Pennsylvania, Case No. 2:12-cv-12005 (E.D. Mich.)