American Home Assurance Co. v. Stephens

This case comes to us on a certified question from the United States Court of Appeals for the Fifth Circuit. The question is “[wjhether it is against public policy for an insurer to limit coverage for a therapist’s non-sexual misconduct because sexual misconduct is alleged to have occurred in the same or related course of professional treatment, even though such sexual misconduct is immaterial to the non-sexual misconduct claims asserted.” 1 After careful consideration of the question, we conclude that Judge Reavley correctly applied Texas law in his dissent to the panel opinion that was…