P. L. Kanter Agency Inc. v. Continental Casualty Co‪.‬

On October 19, 1966, a fire damaged Pandoras Cocktail Lounge in Livonia, Michigan. The P. L. Kanter Agency, Incorporated, an insurance agency, was guilty of certain errors and omissions in procuring insurance which resulted in the premises being inadequately, and in one instance, improperly insured. Consequently, three separate actions against the agency were instituted in the Wayne County Circuit Court and were ultimately compromised and settled. The issue in this lawsuit is which of two insurance companies, which insured Kanter against errors and omissions, should bear the loss represented by the costs of defending the circuit court actions and the settlements which followed.