Under Armour is pressing a federal appeals court to reconsider a decision that limits its insurance recovery to $100 million for a cluster of legal troubles that include a securities class action, government investigations, and related shareholder claims.
In a filing this week, the athletic apparel company asked the U.S. Court of Appeals for the Fourth Circuit for either a panel rehearing or review by the full court. The company argues that judges misread a negotiated policy endorsement that was intended to resolve exactly when certain claims should be treated as filed for insurance purposes.
At the center of the dispute is directors and officers (D&O) liability coverage spanning multiple policy years. Under Armour maintains that a later endorsement to its 2019 policy explicitly placed claims tied to federal investigations into the 2017–2018 coverage period. That timing matters, since it could unlock an additional $100 million layer of insurance beyond the amount already available.
“The endorsement was not merely a reiteration of prior policy terms,” the company said in its petition. “Rather, it was a settlement that resolved a specific dispute regarding when the government investigation claims were made.”
