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Paul Dadurian v. Underwriters at Lloyd's, London

Court of Appeals for the First Circuit (1986) | 787 F.2d 756

4 min read

TL;DR: An insurer denied a claim for stolen jewelry after the insured made false statements under oath about how he paid for it. The court ordered a new trial, finding the insured's lies were likely intentional, which would void the insurance contract.

Legal Significance: An insured's knowingly false statement on a material matter during an insurer's investigation constitutes a breach that voids the policy. A fact is material if it is reasonably relevant to the investigation, even if not decisive to the ultimate loss.