Boggs v. Whitaker, Lipp & Helea, Inc.

Aetna Casualty & Surety Company appeals a summary judgment the effect of which was to extend coverage under its business liability policy to claims of disgruntled investors in an ill-conceived investment scheme that had been promoted by Aetna's insured. We reverse.

Aetna's insured, G.A. Five, Inc., was in the business of selling insurance, annuities, and investments. It sold leases of master audio recordings to the plaintiffs, representing that the recordings were of as yet unreleased works by popular artists that could be used to produce marketable reel-to-reel tapes and cassettes. G.A. Five…