STARK NOVUS FINANCIAL PROVIDES UPDATE ON INSURANCE MATTERS
Stark Novus Financial won a key appellate ruling: on September 22, 2026, a New York intermediate appellate court denied the D&O insurer's motion for reargument and leave to appeal, leaving in place summary judgment rejecting the insurer's retroactive date exclusion defense. The exclusion was the basis for the insurer's 2022 denial of coverage for lawsuits, investigations, and indemnification obligations that drove tens of millions of dollars in defense spending by the Company and predecessor Lordstown Motors.
Key figures
- Defense costs paid
- tens of millions of dollars (2021-2023)
- Primary layer limit
- $5 million
- Excess side abc coverage
- at least $45 million
AI analysis
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