Failure to Make a Decision Costs St. Paul's $3.5M

 The Fifth Circuit Court Of Appeals has affirmed a jury’s decision that St. Paul Surplus Lines must pay Weiser-Brown Operating Company $ 2,290,457.03 in damages for the costs associated with the “loss of control” of an oil well Weiser- Brown operated in Lavaca County, TX. The Court said that St. Paul breached its policy when it failed to either accept or deny Weiser-Brown within 15 days. St. Paul claimed that  it did not receive invoices and other necessary documents from Weiser-Brown and was unable to make a decision before the 15 day deadline. The court found that “[n]ot only was information alleged to have been missing not requested in communications from St. Paul, this information also was not determinative of St. Paul’s position refusing Weiser-Brown’s claim.” Read more: