Klein v. Fidelity & Deposit Co. of America

SALMON, Judge.. The major challenge presented in this case is to interpret correctly the meaning of the term “claim” as used in a “claims made” directors’ and officers’ liability insurance policy. 1

The dispute that gives rise to this issue had its origin in the 1985 Savings and Loan debacle, which ultimately cost Maryland taxpayers over $125,000,000. 2 One of the largest Maryland savings and loan associations that suffered severe financial difficulties in 1985 was the Merritt Commercial Savings & Loan Association (“Merritt”), formerly known as Merritt Savings and Loan, Inc. At all times here…