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PSE Prevails in Washington Supreme Court
April 10, 2003. In a case of importance for numerous future
insurance coverage disputes, PSE today received a unanimous ruling
from the Washington Supreme Court regarding the issue of who carries
the burden of establishing the extent of an offset for payments received
by an insured from settling insurers -- the insured or non-settling
insurers. The Court ruled, consistent with Weyerhaeuser v. Commercial
Union (in which the policyholder was also represented by GMT), that
non-settling insurers bear the burden of establishing the right to,
and amount of, any offsets necessary to avoid a double recovery by
the policyholder. The Court stressed that without such a rule, "there
would be no incentive for any insurance company to settle claims of
this magnitude."
PSE has been represented by in this litigation by Messrs. Gordon,
Murray and Tilden of GMT and by David Brenner of Riddel Williams Bullitt
& Walkinshaw. Jeff Tilden argued the case in the Court of Appeals
and in the Supreme Court.
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