United States Fidelity & Guaranty Co. v. Fendi Adele S.R.L.

CHIN, Circuit Judge:

In this case, a seller of merchandise was insured under two liability insurance policies for any damages it was obligated to *148pay because of an “advertising injury.” During the coverage period, it sold goods bearing counterfeit trademarks. In two underlying lawsuits, it was found liable for, inter alia, trademark infringement. The insurer brought this action below seeking a declaration that it owed no duty to indemnify the insured under the policies. The district court held that the policies did not cover the losses because they were not the result of an “advertising…