Jacobs

UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF CALIFORNIA 6 SCOTT CROCKER JACOBS, Case No. 3:21-cv-01687-WHO

Plaintiff,

ORDER ON MOTION TO DISMISS

v. 9 Re: Dkt. No. 28 LIBERTY SURPLUS INSURANCE

CORPORATION,

11 Defendant.

12 Plaintiff Scott Jacobs was the trustee for, and a beneficiary of, a trust. He purchased a professional liability insurance policy from defendant Liberty Surplus Insurance Corporation (“Liberty”). Other beneficiaries sued Jacobs in state court; they alleged that he abused his position as trustee and sought, among other things, penalties and his removal. Jacobs eventually paid a settlement and attorney’s fees. He alleges that Liberty was obligated to defend him against suit and pay the costs; its failure to do so, he claims, breached the contract and violated the covenant of good faith and fair dealing. Liberty moves to dismiss because, it argues, the policy did not obligate it to do either. The motion is denied. Liberty’s arguments for why the Policy does not, on its face, cover the suit are mostly…