The U.S. Supreme Court on Monday declined to review an insurer’s challenge to a ruling that requires it to cover claims against a wood treatment product maker over a man’s cancer diagnosis allegedly linked to decades of chemical exposure.
Supreme Court Leaves Fourth Circuit Ruling Intact
The justices, as customary, did not provide an explanation for denying the petition filed by Argonaut-Midwest Insurance Co., also known as Argo Group. This decision upholds a Fourth Circuit ruling from this summer that found Argonaut-Midwest is obligated to provide coverage under a commercial general liability policy issued to Koppers Performance Chemicals Inc.
The Fourth Circuit’s opinion concluded that the insurance policy applied broadly to Koppers’ operations, not just within Hawaii, as previously determined by the district court. The panel found that “coverage applies to Koppers generally,” covering its liabilities across the U.S., its territories, and Canada.
Background of the Coverage Row Over Wood Treatment
The case arose from a lawsuit filed by Phillip H. Riley, who claimed he developed cancer after prolonged exposure to Koppers’ wood treatment chemicals through his family’s business in South Carolina. Initially, Argo refused to defend Koppers in Riley’s lawsuit, arguing that Koppers was not a named insured under the relevant policy. After settling with Riley, Koppers later sought to recover its costs by suing its insurers in South Carolina federal court.
