Tuesday, October 21, 2014

Insurance Coverage in Trademark Disputes

Originally published by .


Most companies are insured under a commercial general liability (“CGL”) insurance policy, which usually contains standard coverage language drafted by the Insurance Services Office (“ISO”).  The provision of ISO form CGL policies generally applicable to trademark disputes covers what is known as “advertising injury.”  And depending on the specific policy language and the law governing the dispute, claims for trademark infringement may be covered as advertising injuries. 

In Texas, for example, to be entitled insurance coverage for the cost to defend against suits for trademark infringement, insureds must prove: (1) the allegations in the underlying complaint must raise a “potential” for liability under one of the covered offenses stated in the policy; (2) the insured must h…


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