Paris Suing Insurers over Coverage Denial

Posted April 13, 2017 at 4:09 pm

Paris Cos., DuBois, PA, which is already facing three lawsuits in connection with mold-related deaths of patients at the University of Pittsburgh Medical Center (UPMC) recently announced that it’s suing two insurance providers that have withheld coverage during the ongoing legal battle, according to news reports.

“This filing is necessary to protect our reputation,” Paris CEO David Stern said in a statement issued April 12. “The insurers’ denial of coverage relates to policy coverage dates and has nothing to do with any perceived negligence by Paris. Our reputation has been earned over three decades by providing safe, hygienically clean linens to more than 100 hospitals and healthcare facilities in five states, including Pennsylvania, Ohio, New Jersey, New York and West Virginia.”

In the lawsuit, Paris alleges breach of contract against Westfield Insurance Co., Westfield Corner, Ohio; and Zurich American Insurance, Schaumburg, IL. The lawsuit alleges that both insurance companies say the other is responsible for coverage in the recent legal claims against Paris. Westfield provided umbrella insurance to Paris from 2012 through 2017 – except for 2014, when Zurich was the insurer. Click here for details.

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