James B. Lunsford Regina T. Charboneau Bay Vista Enterprises, Inc. v. American Guarantee & Liability Insurance Co.

ORDER

The memorandum disposition filed January 10, 1994, is redesignated as an authored opinion by Judge Hug.

OPINION

This case asks us to determine whether, under California law, a general liability insurance policy which promises to defend an insured against “malicious prosecution” includes a duty to defend against an “abuse of process” claim. The district court held that it did not and granted summary judgment in favor of the insurer, American Guarantee & Liability Insurance Company (“American”), 775 F.Supp. 1574 . We reverse.

The district court’s jurisdiction was based upon 28 U.S.C. § 1332 . We have jurisdiction pursuant to 28 U.S.C. § 1291 .

I

We review a grant of summary judgment de novo. T.W. Elec. Serv., Inc. v. Pacific Elec. Contractors Ass’n, 809 F.2d 626, 629 (9th Cir.1987). We must determine, viewing the evidence in the light most favorable to the nonmoving party, whether there are any genuine issues of material fact and whether the district court correctly applied the relevant substantive law. Tzung v. State Farm Fire and Casualty Co., 873 F.2d 1338, 1339-40 (9th Cir.1989).

This case was removed to federal court from California state court on the basis of…