Shoshone First Bank v. Pacific Employers Insurance Company
Supreme Court of Wyoming
2 P.3d 510 (2000)
Shoshone First Bank and United Bancorporation of Wyoming, Inc. (defendants) had a general-liability insurance policy with Pacific Employers Insurance Company (Pacific) (plaintiff). Through the policy, Pacific agreed to defend the defendants in actions for bodily injury, property damage, personal injury, and advertising injury caused by an occurrence during the policy period. The defendants were sued by a former director who was terminated by the defendants during the policy period. This director’s complaint alleged five causes of action, including invasion of privacy. The defendants’ chairman timely notified Pacific of this lawsuit and requested that Pacific defend the lawsuit. Pacific did not respond before the date on which the defendants’ answer was due. As a result, the defendants retained attorneys to file an answer and counterclaim. Shortly thereafter, Pacific agreed to defend the defendants but reserved its rights pending an investigation of its rights and obligations regarding the complaint. Pacific defended the action because its liability specialist claimed that the invasion of privacy cause of action might be covered under the defendants’ policy with Pacific. The action was settled. Pacific spent $215,000 defending the suit. The defendants incurred $40,000 in legal fees and costs. Pacific sued the defendants seeking recovery for the portion of costs it expended defending the uncovered causes of action and asserting the counterclaim. The case was certified for review to the Supreme Court of Wyoming.
Rule of Law
Holding and Reasoning (Thomas, J.)
What to do next…
Unlock this case brief with a free (no-commitment) trial membership of Quimbee.
You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 97,000 law students since 2011. Some law schools—such as Yale, Vanderbilt, Berkeley, and the University of Illinois—even subscribe directly to Quimbee for all their law students. Read our student testimonials.
Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.
Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students. Read more about Quimbee.
Here's why 175,000 law students have relied on our case briefs:
- Written by law professors and practitioners, not other law students. 14,000 briefs, keyed to 188 casebooks. Top-notch customer support.
- The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
- Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
- Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.