Parkans International LLC v. Zurich Insurance

To the detriment of the insured, the majority gives the terms of this insurance policy their technical, rather than popular, meaning. Because this method of interpretation contravenes established canons of Texas insurance law, I respectfully dissent.

I

The threshold question is whether Par-kans’s letter of credit is a “covered instrument.” The policy defines covered instruments as:

Checks, drafts, promissory notes, or similar written promises, orders or directions to pay a sum certain in “money” that are:

3. Made or drawn by or drawn upon [Parkans];

4. Made or drawn by one acting as [Parkans’s]…