security holder exclusion
An exclusion in directors and officers liability policy forms for claims
brought by stockholders of the organization with the assistance, or on the urging,
of any director or officer. The intent of the exclusion is to prevent so-called
"infighting" claims in which a director/officer sues another director/officer
by using a security holder in the organization as a "front."
Links for IRMI Online Subscribers Only:
PLI X.E;
D&O Coverage Guide