EATON HYDRAULICS v. CONTINENTAL CAS. CO.

No. B172881.

34 Cal.Rptr.3d 91 (2005)

132 Cal.App.4th 966

EATON HYDRAULICS INC., Plaintiff and Appellant, v. CONTINENTAL CASUALTY COMPANY et al., Defendants and Respondents.

Court of Appeals of California, Second District, Division Eight.

September 15, 2005.


Attorney(s) appearing for the Case

Cooper & Walinski, Joseph P. Thacker, Toledo, OH, John K. Nelson and David Rodman Cooper; Jenkens & Gilchrist, John F. Cermak, Jr. and Sonja A. Inglin, Los Angeles, for Plaintiff and Appellant.

Cortner McNaboe Colliau & Elenius, Los Angeles and Jeffrey T. Woodruff for Defendants and Respondents.


BOLAND, J.

SUMMARY

In this insurance coverage case, the trial court erred in concluding the insured's suit against an excess insurer was barred by the four-year statute of limitations. Under settled principles, the statute of limitations in a general liability insurance coverage case accrues when the insurer refuses to defend the insured in the underlying litigation. Since the duty to defend is continuing, the statute is tolled until the underlying action...

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