PROVIDENT BANK v. TRAVELERS PROPERTY

No. 00-1378

236 F.3d 138 (2000)

Provident Bank of Maryland, Plaintiff-Appellant, v. Travelers Property Casualty Corporation, formerly known as Aetna Life & Casualty Company, Defendant-Appellee.

United States Court of Appeals, Fourth Circuit.

Decided: December 28, 2000


Attorney(s) appearing for the Case

Lawrence Jay Gebhardt, James T. Heidelbach, Douglas S. Reinhart, GEBHARDT & SMITH, L.L.P., Baltimore, Maryland, for Appellant.

Edward C. Bacon, BACON, THORNTON & PALMER, L.L.P., Lanham, Maryland, for Appellee.

Before WIDENER, WILKINS, and NIEMEYER, Circuit Judges.


NIEMEYER, Circuit Judge:

We must determine whether a "Check Stop Payment Liability" endorsement to a "Commercial General Liability" insurance policy provides the insured, a bank, with a right to a legal defense of a law-suit brought against it for its wrongful dishonor of drafts drawn on an irrevocable letter of credit. Because we conclude that the policy imposes a duty on the insurance company to defend the insured, we vacate the district court's judgment concluding...

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