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November 10, 2014

The history of the pollution exclusion clause in its early forms demonstrates that its purpose was to serve as a broad exclusion for traditional environmentally related damages. The terms of the absolute pollution exclusion suggest that its reach extends well beyond those losses. However, some state and federal courts have cited the early history of the exclusion to narrow its application to traditional environmental pollution. This article notes the impact those disparate views have on coverage for damage due to “contaminants.”

The Absolute Pollution Exclusion: Pollution And Fungus, Wet Rot, Dry Rot, And Bacteria