Zenith Ins. Co. v. Liberty Mutual Fire Ins. Co. CA
In this appeal and cross-appeal concerning coverage under a workers’ compensation insurance policy, defendant Liberty Mutual Fire Insurance Company (Liberty) appeals from the judgment entered against it and in favor of plaintiff Zenith Insurance Company (Zenith) following a jury trial on Zenith’s claims for equitable contribution and indemnity. Liberty contends the trial court erred by submitting to the jury the legal determination of whether Liberty’s policy covered a claim against a successor entity that acquired the assets of the named insured corporation. In a defensive cross-appeal, Zenith contends that if the judgment is reversed, the trial court erred by ruling that the de facto merger doctrine did not apply, as a matter of law, to transfer the benefits of the Liberty policy from the named insured corporation to the successor entity.
The trial court erred by submitting to the jury the legal determination of coverage under the Liberty policy.
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