Harad, Charles A. And the Home Insurance Company v. The Aetna Casualty and Surety Company, and Catania, Francis J

OPINION OF THE COURT

COWEN, Circuit Judge.

This appeal arises from an order of the district court which held that, under the terms of an insurance contract issued by Aetna, Aetna had a duty to defend and indemnify its insured. The district court determined that Aetna had not established a meritorious defense and refused to vacate a default judgment which had been entered against Aetna. Since we conclude that the lower court misinterpreted the terms of the contract of insurance, and that an exclusion contained in the policy relieved Aetna of the duty to defend or indemnify its insured, we will…