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Cameron International Company, Ltd. v. Liberty Insurance Underwriters
(Client: Liberty Insurance Underwriters)
In a high-profile coverage dispute arising from the Deepwater Horizon BP oil spill in the Gulf of Mexico, the Firm obtained summary dismissal of bad faith claims asserted by Cameron International Corporation (“Cameron”) against Liberty Insurance Underwriters, Inc. (“LIU”). The suit arose from Cameron’s $250 million settlement with BP, which LIU declined to fund based on various coverage defenses including a novel “other insurance” clause making LIU’s coverage excess of Cameron’s contractual right to indemnity. Cameron claimed that LIU’s decision not to fund the settlement violated the Texas Insurance Code and sought actual damages, attorney fees, and treble damages. The matter is currently on appeal to the Fifth Circuit.
