Insurance Law Commons^™

Conflict Of Laws - Due Process And Full Faith And Credit - Direct Action Statute, Harvey A. Howard S.Ed.

Michigan Law Review

Defendant issued a liability insurance policy to the manufacturer of a hair-waving product, an Illinois subsidiary of a Delaware corporation having its headquarters in Massachusetts. The policy, issued in Massachusetts and delivered in Massachusetts and Illinois, was to protect the insured against damages that might be suffered by users of the product anywhere in the United States or Canada. It contained a "no action" clause enforceable under Massachusetts and Illinois law prohibiting direct actions against the insurer until final determination of the insured's liability, either by judgment or agreement. Alleging injuries sustained in Louisiana where the product was bought and …