American International Specialty Lines Insurance Company v. Electronic Data Systems Corporation and Eds/shl Corporation

POSNER, Circuit Judge.

This is a procedurally complex case involving the arbitrability of subsidiary coverage in a liability insurance policy. The insurer, AISLIC, issued a claims-made liability policy to MCI “and its subsidiaries,” the collectivity being designated on the first page of the policy as the “Named Insured.” A provision on “Subsidiary Coverage” extends the protection of the policy to “any past ... Subsidiary of the Named Insured.” The policy insures against “claims [of liability] that are first made against the Insureds during the Policy Period” arising out of “wrongful acts”…