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Oklahoma Court Enforces Terms of Pollution Buy-Back

Oklahoma Court Enforces Terms of Pollution Buy-Back

In its recent decision in Star Ins. Co. v. Bear Prods., Inc., 2013 U.S. Dist. LEXIS 148559 (E.D. Okl. Oct. 16, 2013), the United States District Court for the Eastern District of Oklahoma had occasion to consider the coverage afforded under a pollution buy-back endorsement. Star Insurance Company insured Bear Products under a primary general liability policy as well as an umbrella liability policy. Bear was named as a defendant in a class action lawsuit alleging personal injury and property damage resulting from exposure to “produced fluid waste,” described as waste fluids and solids generated as a result of oil and gas drilling operations….Bear Products was identified as having transported produced fluid waste to a disposal pit located in the vicinity of the plaintiff class. Both the primary policy and umbrella policies issued by Star Insurance contained a total pollution exclusion.

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