NAT. UNION FIRE INS. CO. v. City of Leeds

This is a declaratory judgment action involving the interpretation of an insurance policy. The issue is one of first impression: Is an award of backpay to a city employee who filed a claim against the city under Title VII of the Civil Rights Act "equitable relief," and, therefore, excluded from coverage under a policy that provided coverage for "discrimination" claims?

The plaintiff, National Union Fire Insurance Company ("NUFIC"), sought construction of an insurance policy it had issued to the defendant, the City of Leeds. Leeds had previously been sued under Title VII of the Civil Rights…