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Wednesday, July 22, 2015
The incompetence continues
I have been discussing FundQuest Inc. v. Travelers Cas. & Sur. Co., 2010 WL 2223301 (D. Mass.), in which a company sought insurance after its human resources department accidentally deposited for fourteen months the CEO's salary into a low-level employee's bank account, even after the employee left the company.
FundQuest sought insurance coverage on under an additional policy provision providing coverage for "[l]oss of property resulting directly from (a) . . . misplacement."
FundQuest lost that argument. Why? Because when it filled out its Proof of Loss form for submission to the insurer, it failed to check a box for a claim for "Mysterious Disappearance/Misplacement." It thereby waived the claim.
