Lambert v. Commonwealth Land Title Insurance

Opinion

ARABIAN, J.

—We granted review in this case to resolve a conflict in the Courts of Appeal as to when a cause of action against a title insurer alleging a failure to defend accrues under Code of Civil Procedure section 339, subdivision (hereafter section 339(1))—when the insurer refuses to defend, or when the underlying action is terminated by final judgment? 1 Section 339(1) provides for a two-year limitations period on an action founded on a policy of title insurance. Plaintiff Ward Lambert (Lambert) petitioned for review after the Court of Appeal affirmed the judgment of the trial…