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CNA CAS. OF CALIFORNIA v. E.C. FACKLER

No. 1-04-3707.

836 N.E.2d 732 (2005)

361 Ill. App.3d 619

297 Ill.Dec. 1

CNA CASUALTY OF CALIFORNIA, Plaintiff-Appellant, v. E.C. FACKLER, INC., and E.C. Fackler Insurance Services, Inc., Defendants (Michael T. McRaith, Acting Director, Illinois Department of Financial and Professional Regulation-Division of Insurance, in his Capacity as Statutory and Court-Affirmed Liquidator, Defendant-Appellee).

Appellate Court of Illinois, First District, Second Division.

September 20, 2005.

Attorney(s) appearing for the Case

Wilson, Elser, Moskowitz, Edelman & Dicker, Chicago (Daniel J. McMahon, Rebecca M. Rothmann, and Cinthia Motley, of counsel), for Appellant.

John H. Wickert and Susan Valentine, Robinson Curley & Clayton, P.C.; D. Daniel Barr, J. Kevin Baldwin and Michael Buresh, Office of the Special Deputy Receiver, Chicago, for Appellee.

Justice WOLFSON delivered the opinion of the court:

E.C. Fackler was in the business of administering trusts for employers who wanted to self-insure against workers' compensation claims. Fackler managed three self-insurance trusts into insolvency. The issue in this case is whether Fackler's professional liability policy requires its insurance company to cover claims for lost funds.

Plaintiff CNA Casualty of California (CNA) sought a declaration that it was...

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