Westoil Terminals v. Industrial Indem.

ASHMANN-GERST. J.

This is an appeal from the trial court's grant of summary judgment to an insurance company, defendant Industrial Indemnity Company (Industrial). The trial court determined that Industrial had no duty to defend its insureds, plaintiffs Westoil Terminals Co., Inc., and Westoil Terminals Co., L.P. (collectively, Westoil), against lawsuits brought by their lessee Western Fuel Oil (Western) and Western's successor in interest, Coastal Corporation (Coastal). The lawsuits sought damages arising out of an order to clean up groundwater contamination at property owned by Westoil. The trial court found, inter alia, no potential for coverage under the comprehensive general liability policy at issue, based upon a qualified pollution exclusion (QPE) in Industrial's policy.

We affirm. The trial court properly granted Industrial's motion for summary judgment pursuant to the QPE in Industrial's policy. In so holding, we do not reach the remaining issues in Westoil's appeal or the issues raised by Industrial in its cross-appeal.

From 1950 to 1974, Westoil owned and operated a tank farm for the storage and transfer of chemicals, fuels, and other liquid commodities at its…