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Creditor Exclusion
The Perils of D&O Coverage

The U.S. Court of Appeals for the Fifth Circuit recently held that a Creditor Exclusion provision in D&O insurance policies may result in significant limitations on the coverage provided to the D&Os when the underlying dispute is with a creditor acting in its creditor capacity.

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The U.S. Court of Appeals for the Fifth Circuit recently held that a Creditor Exclusion provision in directors and officers (D&Os) insurance policies may result in significant limitations on the coverage provided to the D&Os when the underlying dispute is with a creditor acting in its creditor capacity. Markel Am. Ins. Co. v. Verbeek (5th Cir. Sep. 27, 2016). See http://bit.ly/2fkNY1a.

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