Kimberly-Clark Corp. v. Factory Mutual Insurance

DENNIS, Circuit Judge:

This case concerns defendant-appellant Factory Mutual’s decision in October 2003 to distribute to its policyholders a $325 million membership credit that was contingent on policy renewal. Factory Mutual is a mutual insurance company1 and plaintiffappellee Kimberly-Clark was a policyholder for almost 30 years with Factory Mutual and its predecessor company. The district court concluded that Factory Mutual breached its contract with Kimberly-Clark when it denied Kimberly-Clark its equitable share of the $325 million distribution. The district court held that because…