Nardella Chong, PA v. MEDMARC CAS. INS. CO.

Nardella Chong, P.A. (“Chong”) filed this declaratory judgment action against its insurer, Medmarc Casualty Insurance Co. (“Medmarc”), to determine whether its professional liability policy issued to Chong provides coverage for Chong’s erroneous disbursement of client funds from its trust account. The district court granted Medmarc’s motion for. summary judgment denying coverage and this appeal followed. For the following reasons, we reverse the summary judgment.

I

Medmarc issued a professional liability insui’ance policy to Chong that covered, inter alia, all claims of negligence arising from…