Berkshire Unit Beats Coverage Appeal on Abuse-of-Process Suit

A Berkshire Hathaway Inc. insurance unit is off the hook for Toy Quest Ltd.'s legal costs in an underlying abuse-of-process suit, a federal appeals court ruled.

Coverage under the insurance policy issued by General Star Indemnity Co. for malicious prosecution claims didn’t extend to those alleging abuse of process, the US Court of Appeals for the Eighth Circuit said in a Tuesday opinion affirming a lower court decision.

“The express coverage for malicious prosecution implies that abuse of process is not covered under the policy,” Judge Jonathan A. Kobes wrote for the panel.

The underlying case, brought by ASI Inc., ...