M. S. Walker, Inc. v. The Travelers Indemnity Company

CAMPBELL, Circuit Judge.

This is a diversity action removed, from the Massachusetts state court, in which Walker, a distiller, rectifier and wholesaler of alcoholic beverages, seeks to recover $151,386 under the blanket crime coverage of an insurance policy is sued by Travelers. Walker allegedly lost that sum as a result of thefts of inventory by its own employees. Travelers conceded, and the district court found, liability under the policy of $25,000. For reasons hereinafter stated, we reverse in part and remand for further findings by the district court on the issue of Walker’s recovery.

We…