WIEAND, Judge.
Edwin and Lisa Graham were the owners of a residence which, on December 5, 1988, was damaged by oil escaping from their neighbor's oil tank. Harleysville Mutual Ins. Co. had written a homeowners' policy of insurance on the Grahams' residence. When the Grahams gave Harleysville notice of the oil damage, the insurer denied coverage because of an exclusion in the policy with respect to losses caused by the "release, discharge or dispersal of contaminants...
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