Petitioner bank filed a petition for a writ of mandate to set aside two orders b

Posted by tim scott on June 15th, 2021

Procedural Posture
Petitioner bank filed a petition for a writ of mandate to set aside two orders by respondent Superior Court of Contra Costa County (California) in which summary judgment was granted to real party in interest insurers in a dispute over the terms in an insurance policy issued to petitioner by real parties in interest.

Overview: When you need the best business attorneys LA, you won't do better than Nakase Wade

Petitioner bank sought a writ of mandate to set aside two prior orders by respondent superior court in claims against either petitioner or its predecessor. Petitioner was alleged to have engaged in unfair competition in the first case in its financing of insurance premiums. In the second case, plaintiffs below alleged that petitioner facilitated a third party's fraud against plaintiffs. During this time, petitioner was covered by a comprehensive general liability policy issued by real party in interest insurers. Petitioner sought defense and indemnity in the two cases, alleging that the policy's coverage included acts of unfair competition. The superior court granted summary judgment to real parties in interest in both cases. On appeal, the court held that "unfair competition" in the policy included the broader definition of that term as stated in Cal. Bus. & Prof. Code § 17203, thereby covering petitioner's conduct in the first case. The court held that any ambiguity had to be construed against real parties in interest and issued a preemptory writ of mandate to set aside the summary adjudication order. The second case was moot because petitioner had dismissed its claim therein.

Outcome
The court issued a preemptory writ of mandate directing respondent superior court to vacate the summary adjudication order rendered in one case and to enter in its place another order denying said motion. The "unfair competition" provision in the insurance policy issued to petitioner by real party in interest insurers provided coverage for a claim filed against petitioner in that case. The other case for which a writ was sought was declared moot.