Mitchell v. Durham Enterprises, Inc. (99 F.4th 978) 7th Cir., April 24, 2024)

Words & Phrases

Duty To Defend: Exclusions

Trial Judge

J. Phil Gilbert

Appellate Judge

Sykes

Holding

Plaintiff filed a malpractice lawsuit against a janitorial company that cleaned a medical facility that provided dialysis treatments after developing sepsis. The parties entered into an agreement where defendant agreed not to defend the case and plaintiff agreed to seek recovery only from defendant’s insurance company. The trial court held an uncontested bench trial and entered judgment for the plaintiff. The insurance company then removed the action to federal court and the district court concluded that a bacteria exclusion in the policy excluded coverage. The Seventh Circuit affirmed, finding that the district court did not err when it found that a bacteria exclusion in an insurance policy excluded coverage.

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