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Philadelphia Consolidated Holding Corporation v. LSI-Lowery Systems, Inc. et al

Case Summary: 12-cv-01005

Plaintiff Philadelphia Consolidated Holding Corporation brought this suit against Defendants LSi-Lowery Systems Inc., Hodell-Natco Industries, and the Ibis Group for declaratory judgment related to underlying litigation in the Northern District of Ohio.

In the underlying case, Hodell sued LSi for damages allegedly sustained when business software purchased from and implemented by LSi failed to properly function. The software first went live on March 1, 2007, and Hodell immediately began experiencing problems. On March 13, Hodell notified LSi of the problems with the software. And on March 20, Hodell warned LSi that it would take legal action if performance did not improve.

LSi tendered Hodell’s lawsuit to Plaintiff for defense and indemnification, relying on two consecutive insurance policies it had entered into with Plaintiff, effective April 2007 through April 2009. The policies excluded coverage for any claim arising out of acts committed prior to the policy period. Noting the communication between Hodell and LSi in March 2007, Plaintiff argued in the current case that the contract language precludes coverage of the claims in the underlying suit by either policy and moved for summary judgment. After a hearing on September 30, 2013, the court granted Plaintiff’s motion.

Case Highlights

  • Complaint filed 6/6/2012 (Doc #1)
  • Plaintiff filed Motion for Summary Judgment 7/16/2013 (Doc #50)
  • Hearing on motion 9/30/2013 (Doc #73)
  • Court granted motion 10/09/2013 (Doc #74)

Case-related documents, including those referenced above, are available via the Public Access to Court Electronic Records (PACER) service. For more information, visit