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Berkshire Hathaway

Berkshire unit seeks dismissal of Trulieve’s insurance coverage case over worker death

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A Berkshire Hathaway (NYSE: BRK.A) insurance unit is looking to dismiss a lawsuit brought by cannabis company Trulieve over coverage related to a worker’s death in Massachusetts, arguing the worker wasn’t employed by any of the companies seeking protection.

In a motion filed Monday in Florida federal court, Berkshire Hathaway Homestate Insurance Co. said it has no obligation to defend or provide coverage in a wrongful death lawsuit because the deceased worker, Lorna McMurrey, was employed by a separate Trulieve subsidiary not named in that case.

The dispute centers on a workers’ compensation and employers liability policy issued to Trulieve Inc. While the Florida-based cannabis company has paid $3.1 million to maintain the policy, Berkshire argues coverage only extends to Trulieve Inc. itself — not to related companies Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF) or Trulieve Holyoke Holdings LLC.

“As a matter of law, the policy does not obligate BHHIC to defend or indemnify an insured where there is no allegation that the injured party was an employee of an insured,” the insurer stated in its 29-page court filing first reported by Law360.

McMurrey, 27, died in January 2022 after suffering asthma attacks following exposure to mold and cannabis particles at a Trulieve facility in Holyoke, Massachusetts. According to court documents, she was employed by Life Essence Inc., a Trulieve subsidiary not named as a defendant in the wrongful death lawsuit filed by her family.

The case gained broader attention after federal health officials identified it as the first documented instance of a U.S. cannabis industry worker dying from asthma due to ground cannabis dust exposure. The incident led Massachusetts and federal workplace safety regulators to classify ground cannabis dust as a “hazardous chemical” last month.

Trulieve previously reached settlements with regulators over the incident, paying $350,000 to Massachusetts authorities and $15,000 to the U.S. Occupational Safety and Health Administration.

Beyond seeking dismissal, Berkshire wants the case moved to Massachusetts federal court, arguing the key events — including McMurrey’s death, the ongoing tort litigation, and the insurance company’s coverage decisions — occurred there.

The insurer also argues McMurrey’s estate should be included as an essential party to the insurance dispute, saying any ruling on her employment status could affect the estate’s interests and contradict claims in the wrongful death case.

2271000-2271481-https-ecf-flnd-uscourts-gov-doc1-049112469730



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Berkshire Hathaway

The Daily Hit: December 11, 2024

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The Daily Hit is a recap of the top financial news stories for Wednesday, December 11, 2024.

On the Site

Berkshire unit seeks dismissal of Trulieve’s insurance coverage case over worker death

Berkshire Hathaway’s insurer says the worker’s death falls outside of Trulieve’s $3.1 million policy with the firm.

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CBD Life Sciences announced its intent to acquire a cannabis growth license in North Las Vegas, a move that positions CBDL at the forefront of Nevada’s thriving cannabis cultivation market, which is projected to surpass $1.3 billion by 2025.

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