PAJ, Inc., a jewelry company, had a commercial general liability (CGL) policy from Hanover Insurance Co. It

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PAJ, Inc., a jewelry company, had a commercial general liability (CGL) policy from Hanover Insurance Co. It covered, among other things, liability for advertising injury. The policy required PAJ to notify Hanover of any claim or suit against PAJ “as soon as practicable.” Yurman Designs sued PAJ for copyright infringement because of the design of a particular jewelry line. Unaware that the CGL policy applied to this matter, PAJ did not notify Hanover of the suit until four to six months after litigation began. Hanover contended that the policy did not apply to this incident because the late notification had violated its terms. PAJ sued Hanover, seeking a declaration that it was obligated to defend and indemnify PAJ. The trial court held for Hanover, as did the appeals court. PAJ appealed. Does Hanover have an obligation to provide PAJ with assistance, or did PAJ violate the insurance contract? 2008)

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Business Law Today The Essentials

ISBN: 978-0324786156

9th Edition

Authors: Roger LeRoy Miller, Gaylord A. Jentz

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