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April 28, 2015

Manchester oil company loses in court ruling

A federal court has ruled against Manchester-based J&S Oil Co. in its attempt to recoup losses from a Chicago insurance company for an oil spill that happened three years ago.

The Kennebec Journal reported that J&S Oil filed a lawsuit in U.S. District Court in January 2014, seeking unspecified damages from HDI-Gerling America Insurance Co. as part of its commercial automobile insurance company.

J&S Oil claimed that the 1,500-gallon oil leak from an oil tank trailer should have been covered by the policy. But a federal judge last week disagreed, saying the trailer is not covered because it is “mobile equipment” and only meant for use on the company’s property.

John L. Babb, president of J&S Oil, told the newspaper the company is considering an appeal.

Source: Kennebec Journal

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