--- title: "Legal Experts Reject Fair Insurer's Claim" date: 1999-10-08T19:50:01-07:00 author: admin canonical_url: "https://marlerclark.com/news_events/legal-experts-reject-fair-insurers-claim" section: Case News Additional --- [All News](/news_events) / [](https://marlerclark.com/news_events) / # Legal Experts Reject Fair Insurer's Claim **They say it is unlikely the argument that contamination is excluded will hold up.**Albany -- Washington County Fair's insurance company could end up paying millions of dollars in claims over an E. coli outbreak despite its contention that the fair's policy won't cover lawsuits, legal experts say. The issue of coverage is critical because it could affect fairs throughout the state, possibly driving up costs and forcing organizers to rethink holding the festivals. In fact, the future of the Washington County Fair may rest on whether the policy covers the claims. So far, about a dozen lawsuits claiming up to $3 million in damages each have been filed against the fair by several of the hundreds of people sickened at the August event, and many more civil suits are expected. In a letter sent to the Washington County Fair board president, TIG Insurance Company said it would probably not pay any damages related to the outbreak. It stated that the fair's policy does not cover "bodily injury'' or "death'' that may have resulted from the outbreak because of the contract's "pollution'' exemption clause. "The insurance company is not going to prevail,'' said Thomas F. Gleason, an adjunct professor of insurance law at Albany Law School. Several legal analysts agreed, saying the insurer's argument that the policy doesn't cover E. coli won't stand up to legal scrutiny. William Marler, a Seattle attorney recognized as the leading expert on E. coli, said TIG's position was "absurd'' and that the company was looking for ways out from under what could potentially be hundreds of millions of dollars worth of damages. "They don't want to pay,'' he said. "Insurance companies don't make money paying claims.'' Since the fair ended Aug. 29, the outbreak has claimed two lives, sent 65 to the hospital and sickened about 1,050. Marler said TIG paid a total of $20 million to settle several E. coli cases he handled for poisonings at the Jack-in-the-Box hamburger chain. TIG officials in New York City declined to comment. If the insurer's interpretation of the contract stands up to a likely legal challenge, the fair will be forced to shoulder any damage awards -- and could be forced into bankruptcy. Also, fair organizers around the country will likely need to consider added insurance. Legal authorities say that so-called pollution clauses are standard, but that the provision may not be the test a court would use to determine if the insurer must cover the claims. For example, Gleason said, TIG's definition of pollution "does not clearly include bacteria'' and the event that may have caused injury "is not necessarily the pollution of the well, but rather not realizing that contaminated water was being served to patrons.'' State health officials have said the outbreak was caused when an unchlorinated well at the fairgrounds became contaminated following a rainstorm. The well was near a dairy barn and was used by vendors to make beverages and prepare food during the fair. A second question raised by the TIG letter is a claim that, if the insurer turns out to be liable, the policy's liability limit would be $1 million for all E. coli-related claims. Legal experts disagreed as to whether that argument would stand up. Some said that regardless of the number of people injured, if the fair's policy is a single-limit policy, it stops at $1 million. Others said the poisoning starts at distribution and each time a vendor sold a contaminated drink or item of food at the fair, it could cost the insurer up to $1 million. ### Other Lawsuits [Infant Formula and Botulism Again - Three Sick](https://marlerclark.com/the-ten-largest-foodborne-illness-outbreaks-in-the-u-s-since-1993-and-marler-clarks-role-in-them) [Clover Hill Dairy Cheese sickens 9 with Listeria - 1 Death](https://marlerclark.com/clover-hill-dairy-cheese-sickens-8-with-listeria) [18 Sick with Salmonella from Moringa Capsules](https://marlerclark.com/18-sick-with-salmonella-from-moringa-capsules) [Kebab Shop E. coli Outbreak Sickens Nine](https://marlerclark.com/kebab-shop-e-coli-outbreak-sickens-nine) [70 Sickened by Salmonella Cantaloupe](https://marlerclark.com/70-sickened-by-salmonella-cantaloupe) [Headcheese linked to Listeria illnesses in Illinois](https://marlerclark.com/headcheese-linked-to-listeria-illnesses-in-illinois) [Raw Farms linked to another Raw Milk Cheese E.coli Outbreak - 9 People sickened - Company refuses to recall product](https://marlerclark.com/raw-farms-linked-to-another-raw-milk-cheese-e-coli-outbreak-7-people-sickened) [Salmonella linked to Live it Up hits 97](https://marlerclark.com/salmonella-linked-to-live-it-up) [64 with Salmonella tied to Oysters](https://marlerclark.com/64-with-salmonella-tied-to-oysters) [Vega Farms Salmonella Outbreak Sickens 63](https://marlerclark.com/vega-farms-salmonella-outbreak-sickens-63) [By Heart Infant Formula tied to Botulism Outbreak spikes to 51](https://marlerclark.com/by-heart-infant-formula-tied-to-botulism-outbreak) [Green Supplement causes Salmonella Outbreak](https://marlerclark.com/green-supplement-causes-salmonella-outbreak) ### Lawsuit updates about foodborne illnesses [Reactive Arthritis Lawsuit Updates](/news_events/case-news?illness=reactive-arthritis&year=all) [E. coli Lawsuit Updates](/news_events/case-news?illness=e-coli&year=all) [Guillain-Barre Syndrome Lawsuit Updates](/news_events/case-news?illness=guillain-barre-syndrome&year=all) [Salmonella Lawsuit Updates](/news_events/case-news?illness=salmonella&year=all) [Hemolytic Uremic Syndrome Lawsuit Updates](/news_events/case-news?illness=hemolytic-uremic-syndrome&year=all) [Listeria Lawsuit Updates](/news_events/case-news?illness=listeria&year=all) [Irritable Bowel Syndrome Lawsuit Updates](/news_events/case-news?illness=irritable-bowel-syndrome&year=all) [Hepatitis A Lawsuit Updates](/news_events/case-news?illness=hepatitis-a&year=all) [Norovirus Lawsuit Updates](/news_events/case-news?illness=norovirus&year=all) [Botulism Lawsuit Updates](/news_events/case-news?illness=botulism&year=all) [Campylobacter Lawsuit Updates](/news_events/case-news?illness=campylobacter&year=all) [Shigella Lawsuit Updates](/news_events/case-news?illness=shigella&year=all) [Cyclospora Lawsuit Updates](/news_events/case-news?illness=cyclospora&year=all) ### Lawsuits updates by year [Foodborne Illness Lawsuits in 1998](https://marlerclark.com/news_events/case-news?illness=all&year=1998) [Foodborne Illness Lawsuits in 1999](https://marlerclark.com/news_events/case-news?illness=all&year=1999) [Foodborne Illness Lawsuits in 2000](https://marlerclark.com/news_events/case-news?illness=all&year=2000) [Foodborne Illness Lawsuits in 2001](https://marlerclark.com/news_events/case-news?illness=all&year=2001) [Foodborne Illness Lawsuits in 2002](https://marlerclark.com/news_events/case-news?illness=all&year=2002) [Foodborne Illness Lawsuits in 2003](https://marlerclark.com/news_events/case-news?illness=all&year=2003) [Foodborne Illness Lawsuits in 2004](https://marlerclark.com/news_events/case-news?illness=all&year=2004) [Foodborne Illness Lawsuits in 2005](https://marlerclark.com/news_events/case-news?illness=all&year=2005) [Foodborne Illness Lawsuits in 2006](https://marlerclark.com/news_events/case-news?illness=all&year=2006) [Foodborne Illness Lawsuits in 2007](https://marlerclark.com/news_events/case-news?illness=all&year=2007) [Foodborne Illness Lawsuits in 2008](https://marlerclark.com/news_events/case-news?illness=all&year=2008) [Foodborne Illness Lawsuits in 2009](https://marlerclark.com/news_events/case-news?illness=all&year=2009) [Foodborne Illness Lawsuits in 2010](https://marlerclark.com/news_events/case-news?illness=all&year=2010) [Foodborne Illness Lawsuits in 2011](https://marlerclark.com/news_events/case-news?illness=all&year=2011) [Foodborne Illness Lawsuits in 2012](https://marlerclark.com/news_events/case-news?illness=all&year=2012) [Foodborne Illness Lawsuits in 2013](https://marlerclark.com/news_events/case-news?illness=all&year=2013) [Foodborne Illness Lawsuits in 2014](https://marlerclark.com/news_events/case-news?illness=all&year=2014) [Foodborne Illness Lawsuits in 2015](https://marlerclark.com/news_events/case-news?illness=all&year=2015) [Foodborne Illness Lawsuits in 2016](https://marlerclark.com/news_events/case-news?illness=all&year=2016) [Foodborne Illness Lawsuits in 2017](https://marlerclark.com/news_events/case-news?illness=all&year=2017) [Foodborne Illness Lawsuits in 2018](https://marlerclark.com/news_events/case-news?illness=all&year=2018) [Foodborne Illness Lawsuits in 2019](https://marlerclark.com/news_events/case-news?illness=all&year=2019) [Foodborne Illness Lawsuits in 2020](https://marlerclark.com/news_events/case-news?illness=all&year=2020) [Foodborne Illness Lawsuits in 2021](https://marlerclark.com/news_events/case-news?illness=all&year=2021) [Foodborne Illness Lawsuits in 2022](https://marlerclark.com/news_events/case-news?illness=all&year=2022) [Foodborne Illness Lawsuits in 2023](https://marlerclark.com/news_events/case-news?illness=all&year=2023) [Foodborne Illness Lawsuits in 2024](https://marlerclark.com/news_events/case-news?illness=all&year=2024) [Foodborne Illness Lawsuits in 2025](https://marlerclark.com/news_events/case-news?illness=all&year=2025) [Foodborne Illness Lawsuits in 2026](https://marlerclark.com/news_events/case-news?illness=all&year=2026) ##### Get Help #### Affected by an outbreak or recall? The team at Marler Clark is here to answer all your questions. Find out if you’re eligible for a lawsuit, what questions to ask your doctor, and more. [ Get a free consultation ](https://marlerclark.com/contact) ##### Related Resources ###### [E. coli](https://marlerclark.com/foodborne-illnesses/e-coli-landing) ... ###### [E. coli Food Poisoning](https://marlerclark.com/foodborne-illnesses/e-coli/e-coli-food-poisoning) What is E. coli and how does it cause food poisoning? Escherichia coli (E. coli) is a highly studied, common species of bacteria that belongs to the family Enterobacteriaceae, so... ###### [E. coli O157:H7](https://marlerclark.com/foodborne-illnesses/e-coli/e-coli-o157h7) E. coli O157:H7 is a foodborne pathogen that causes food poisoning. E. coli O157:H7 is the most commonly identified and the most notorious Shiga toxin-producing E. coli (STEC) serotype in... ###### [Non-O157 STEC](https://marlerclark.com/foodborne-illnesses/e-coli/non-o157-stec) Non-O157 Shiga Toxin-Producing E. coli can also cause food poisoning. E. coli O157:H7 may be the most notorious serotype of Shiga toxin-producing E. coli (STEC), but there are at least... ###### [Sources of E. coli](https://marlerclark.com/foodborne-illnesses/e-coli/sources-of-e-coli) Where do E. coli O157:H7 and non-O157 Shiga toxin-producing E. coli (STEC) come from? The primary reservoirs, or ultimate sources, of E. coli O157:H7 and non-O157 STEC in nature are... ##### Outbreak Database #### Looking for a comprehensive list of outbreaks? The team at Marler Clark is here to answer all your questions. Find out if you’re eligible for a lawsuit, what questions to ask your doctor, and more. [ View Outbreak Database ](https://outbreakdatabase.com)