trending Market Intelligence /marketintelligence/en/news-insights/trending/ietleiz3gnkoovnv6fhowq2 content esgSubNav
In This List

AIG unit must indemnify Office Depot in whistleblower case

Blog

Using ESG Analysis to Support a Sustainable Future

Video

S&P Capital IQ Pro | Powered by Expert Insights

Blog

Q&A: Streamlining Analytics for TCFD Reporting

Blog

The Big Picture 2022 Insurance Industry Outlook


AIG unit must indemnify Office Depot in whistleblower case

AIG Specialty Insurance Co. must defend and indemnify Office Depot Inc.'s $68.5 million settlement of a whistleblower suit, a federal appeals court ruled, reversing a district court decision.

According to Business Insurance, the appeals court ruled that the American International Group Inc. unit should reimburse because the charges leveled against Office Depot involved covered wrongful acts under AIG policies.

Office Depot accused the insurer of breach of contract in its lawsuit. In June 2016, the district court granted AIG summary judgment on alleged breaches of AIG's duty to defend and indemnify Office Depot, but did not dismiss a good faith and fair dealing charge.

The appeals court's three-judge panel unanimously ruled that AIG was obligated to defend and indemnify Office Depot.

AIG did not immediately respond to a request for comments.