In Re Verizon Insurance Coverage Appeals

Summary

The court held that the insurance policy’s definition of a Securities Claim is unambiguous and covers only claims alleging violations of regulations, rules, or statutes specifically directed toward securities regulation. The bankruptcy trustee’s fiduciary-duty, unlawful-dividend, fraudulent-transfer, unjust-enrichment, and alter-ego claims did not satisfy that definition, even though they arose from a transaction involving securities. The court therefore reversed the Superior Court’s summary judgment for Verizon and directed entry of judgment for the insurers.