Telxon Corporation v. Federal Insurance Company

OPINION

OBERDORFER, District Judge.

In this insurance coverage action the District Court, exercising diversity jurisdiction, granted to Federal Insurance Company (“Federal”) a summary judgment that it was not obligated by an officers and directors liability policy to reimburse Telxon Corporation (“Telxon”) for certain costs which it incurred in defending a stockholder class action brought against it and two of its officer/directors covered by that policy. Telxon appealed. We AFFIRM.

I. BACKGROUND

A. The D & O Policy

Telxon, a global designer and manufacturer of wireless and mobile information…