A split Illinois appellate panel ruled last week in favor of an insurance company, finding it was not required to indemnify a grocery chain in an underlying suit brought by employees who claimed the store failed to disclose that a third-party timekeeping software program kept a database of workers’ biometric information.
In a 2-1 decision Sept. 10, Illinois’ First District Court of Appeals reversed a decision from the Cook County Circuit Court in favor of Certain Underwriters at Lloyd’s London, represented by counsel with Gordon Rees Scully Mansukhani. The case, Tony’s Finer Foods Enterprises v. Certain Underwriters at Lloyd’s, London, will return to the trial court after the majority held that Lloyd’s does not have the duty to represent Tony’s Finer Foods Enterprises in an underlying lawsuit because the policies regarding cyber, data risk, and media insurance coverage did not extend to claims of biometric information violations.