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Farella Braun + Martel's Shanti Eagle. Farella Braun + Martel’s Shanti Eagle.

On Tuesday, the Supreme Court of California will hear oral argument in the case of Liberty Surplus Insurance v. Ledesma & Meyer Construction, case no. S236765. The court likely will decide whether there can be coverage under a general liability policy for negligent supervision claims, a decision which could have a significant impact on California policyholders across a range of industries. In addition, the court may clarify the definition of “accident” in a broader sense, settling a lower court split over whether the unintended consequences of intentional acts can constitute an “occurrence” under general liability insurance policies.

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