Northfield Ins. Co. v. Mt. Hawley Ins. Co.

FISHER, P.J.A.D.

*137We consider whether a third party may take advantage of an estoppel doctrine-first recognized in Merchants Indemnity Corp. v. Eggleston, 37 N.J. 114, 179 A.2d 505 (1962) -that has been found to apply when an insurer, while reserving its rights or *138otherwise declining to provide coverage, fails to clearly request its insured's consent to the insurer's control of the defense. Unlike the trial judge, we cannot conclude the insurer here should be estopped from denying coverage because there is no clear evidence that the ostensibly defunct insured changed its position to its…