THE DUTY TO DEFEND IN LIABILITY INSURANCE POLICIES: HAS IT GONE TOO FAR?

In 1982, actress Vanessa Redgrave sued the Boston Symphony Orchestra for breach of contract claiming that the breach had damaged her reputation. At the end of the seven-year legal battle, the Boston Symphony Orchestra sued its liability insurer in "Boston Symphony Orchestra v. Commercial Union Ins. Co." for failing to defend it in the suit brought by Ms. Redgrave. Although Commercial Union's policy did not specifically cover suits brought for breach of contract, the Supreme Judicial Court of Massachusetts found that Commercial Union had a duty to defend the Boston Symphony Orchestra and was liable for up to one million dollars for the cost of their legal defense. In an era of soaring insurance costs and increased litigation for breach of contract, the holding in "Boston Symphony Orchestra v. Commercial Union Ins. Co." has had a tremendous impact on the entertainment industry. The author explores the duty to defend in liability insurance contracts and the effects that this case's extension of that duty on the entertainment industry.