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security holder exclusion

An exclusion in directors and officers liability (D&O) 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

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