• Reformation: insurer’s counterclaim to reform policy and for declaratory judgment stated a claim based on allegation that insured lender’s attorney agreed to subordinate insured mortgage lien to other liensRegions Bank v. Commonwealth Land Title Ins. Co., Case No. 11-23257 (S.D. Fla. Nov. 6, 2012) (order denying motion to dismiss or strike)
  • Failure to Mitigate: insurer should have known of failure to mitigate damages defense at the time insured refused offer of defense and coverage under a reservation of rights and court may refuse to allow amendment for lack of diligence in such circumstances Regions Bank v. Commonwealth Land Title Ins. Co., Case No. 11-23257 (S.D. Fla. Nov. 6, 2012) (order denying motion to plead additional defenses and granting motion to strike amended pleading)
  • Continuation of Coverage: insured lender who transfers all of its interest in deed of trust and does not (i) retain an estate or interest in the land, (ii) hold an indebtedness secured by a purchase money mortgage, or (iii) have liability by reason of covenants of warranty is no longer insured under the policyManufacturers & Traders Trust Co. v. Fidelity National Title Ins. Co., Case No. 3:12-cv-00744 (D. Or. Nov. 4, 2012) (order granting summary judgment)