
Every now and then, a court decision catches our attention. That was the case with the Ninth Circuit’s March 20, 2025, opinion, in which the court held that coverage for settlement amounts and defense costs incurred in an underlying employee and client poaching lawsuit was barred by California Insurance Code Section 533. Section 533 bars coverage for loss caused by “the willful act of the insured.” The troublesome thing about this opinion is that the appellate court held coverage was precluded even though the willful conduct involved was merely alleged, not proven.Continue Reading Are Allegations Sufficient to Trigger California Ins. Code Section 533?