Motion hearing continued in Apex Oil's suit against asbestos insurer

Madison County Circuit Judge William Mudge on July 11 continued a July 12 motion hearing in a suit brought by Apex Oil over its insurance company’s alleged failure to defend a Madison County asbestos suit.

Apex sued Arrowood Insurance last December for defense costs it incurred in defending a 2010 lawsuit filed by Mary Krohn over the death of her husband, Richard A. Krohn, who worked for Clark (Oil) from 1957-1996. Apex is successor to Clark.

Apex filed a request to admit directed to Arrowood Indemnity Company, stating if Arrowood does not serve its response 28 days after receiving the document, all facts in the request to admit will be “deemed true,” and all documents described in the requests will be deemed genuine.

Among other things, Apex wants Arrowood to admit receiving a tender letter from Apex on or about Dec. 6, 2010, and that Arrowood issued a policy. Apex also wants Arrowood to admit it received notice of the Krohn lawsuit and to admit it did not defend Apex under “reservation of rights.”

Arrowood has responded by saying it is not legally obligated to pay a claim when damages involve “bodily injury by accident or by disease, including death.”

Apex seeks an award for the amount spent defending itself in the Krohn lawsuit, plus attorneys’ fees, pre- and post-judgment interest, costs and other relief the court deems just.

William J. Knapp and Heather Mueller-Jones of Knapp, Ohl and Green in Edwardsville represent Apex.

Gary Meadows of HeplerBroom in Edwardsville represents the defense.

The case had been assigned to Circuit Judge Andreas Matoesian, but was transferred to Mudge after Arrowood sought substitution as a matter of right.

Madison County Circuit Court case number: 12-L-1962.