The plaintiff-insured, Lyons Salt Company, is a Kansas corporation that owns and operates a massive salt mine in Lyons, Kansas. B.S.C. Holding, Inc. is the sole shareholder of Lyons Salt. The defendant-insurer, Lexington Insurance Company, issued eight consecutive policies of commercial property insurance to the plaintiffs from the years 2002 until 2010. The policies at issue, which were all substantially identical, constituted “all risk” insurance policies.
Beginning as early as October 7, 2004, technicians at Lyons identified higher than expected closure rates, indicating that …Continue Reading