An applicant for legal malpractice insurance who fails to disclose known facts that could lead to a malpractice claim, even if no claim has been filed, may be denied coverage as a matter of law, the New Jersey Supreme Court says.

The justices last week affirmed summary judgment in favor of the insurer in Liberty Surplus Insurance Corp. v. Nowell Amoroso Klein Bierman, A-91-05, finding “the trial court would have had to ignore reality to conclude that Nowell Amoroso did not have knowledge that a claim might be filed against it.”

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