Liberty Mutual Corp. convinced the U.S. Court of Appeals for the Fifth Circuit it had no duty to defend an accused polluter in a South Carolina federal court case, but its duty to indemnify was conditionally reinstated.

Liberty Mutual, through its entity Liberty Mutual Fire Insurance Co., filed suit in the U.S. District Court for the Northern District of Texas after a client, Copart of Connecticut Inc., demanded the insurer cover its defense against pollution-related claims of negligence, nuisance and trespass.