Gordis, Commercial Liability

COVERAGE B–PERSONAL AND ADVERTISING INJURY LIABILITY INSURING AGREEMENT

Under this section of the policy, the company will pay all sums that the insured becomes legally obligated to pay because of personal and advertising injury, as defined. The Definitions section of the form spells out what actions are included. First, there must be injury and it can include consequential bodily injury. Next, that injury must arise from one of the following offenses:

• False arrest, detention or imprisonment—when an individual’s movements are restricted by another person, false arrest, detention or imprisonment may be claimed (There is no requirement that police powers be exercised.)
• Malicious prosecution—this includes actions of private citizens against other private citizens
• Wrongful eviction from, wrongful entry into, or invasion of the right of private occupancy of a room, dwelling or premises that a person occupies—when the offenses are committed by or on behalf of its owner, landlord, or lessor
• Slander or libel of a person or organization
• Violation of a person’s right of privacy through written or oral publications
• Any use of another’s advertising idea in the insured’s advertisement
• An infringement upon another’s copyright, trade, dress, or slogan in the insured’s advertisement

The offense must take place during the policy period in the covered territory.

COVERAGE B–PERSONAL AND ADVERTISING INJURY LIABILITY EXCLUSIONS

The following exclusions apply to the personal injury and advertising injury coverage of the policy:

Pollution

Because of the wording of the personal injury liability coverage and the lack of a pollution exclusion, attempts have been made in litigation to force coverage for various types of pollution losses under the guise of trespass, wrongful entry, or invasion of the right of private occupancy. It was never the intent of the personal injury or advertising injury coverage to provide for any pollution damages or cleanup costs. Therefore, wording has been added to the effect that no coverage exists for any pollution exposure that may arise out of personal injury and advertising injury wording.

False Material

If the insured knows that information is false and still allows it to be published, there is no coverage for any resulting personal and advertising injury.

Foreknowledge

There is no coverage if the insured had knowledge that the act would not only violate the rights of another but would cause personal and advertising injury.

Criminal Act

If an insured commits a criminal act or directs another to commit a criminal act, there is no coverage for any personal and advertising injury that results.

Assumed Liability

Liability assumed under a contract is not covered unless the insured would have been liable for the action in the absence of the particular contract or agreement.

Prior Publication

If the material that is causing the personal and advertising injury was published prior to the policy period, there is no coverage.