Ex-Shocking Technologies Execs’ D&O Coverage Suit to Proceed

Scottsdale Insurance Co. failed to quash a lawsuit from two former Shocking Technologies executives over denial of directors and officers insurance claims, after a federal court in California ruled that the claim submission timing and policy exclusions weren’t clearly established.

Scottsdale must prove the absence of coverage requirements for the policyholders, the U.S. District Court for the Northern District of California said Thursday, denying the insurance company’s motion to dismiss the case.

The policyholders—Lex Kosowsky and Marius Domokos, who worked as CEO and general counsel, respectively, of Shocking Technologies—made a showing of potential coverage, the court said.

Kosowsky and Domokos ...