CSAA Fire & Casualty Insurance Company v. Jason Yerushalmi

CourtDistrict Court, D. Connecticut
DecidedMarch 20, 2026
Docket3:24-cv-01455
StatusUnknown

This text of CSAA Fire & Casualty Insurance Company v. Jason Yerushalmi (CSAA Fire & Casualty Insurance Company v. Jason Yerushalmi) is published on Counsel Stack Legal Research, covering District Court, D. Connecticut primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
CSAA Fire & Casualty Insurance Company v. Jason Yerushalmi, (D. Conn. 2026).

Opinion

UNITED STATES DISTRICT COURT DISTRICT OF CONNECTICUT ---------------------------------------------------------------- x CSAA FIRE & CASUALTY INSURANCE : COMPANY, : : Plaintiff, : : 24-CV-1455 (SFR) v. : : JASON YERUSHALMI, : : Defendant. x --------------------------------------------------------------- MEMORANDUM & ORDER

Before me is Plaintiff CSAA Fire & Casualty Insurance Company’s (“CSAA”) Motion for Summary Judgment and Motion to Dismiss Count Five of Defendant Jason Yerushalmi’s Counterclaims. For the reasons that follow, I grant these motions in their entirety. I. BACKGROUND A. Factual Background The factual circumstances underlying this case are not in dispute; instead, the disagreements primarily relate to the interpretation of contract terms. CSAA issued a homeowner’s insurance policy with an effective date of October 21, 2018 through October 21, 2019 (“Homeowner’s Policy”) to Mark and Jayne Yerushalmi, the parents of Defendant Jason Yerushalmi (“Yerushalmi”). Def.’s 56(a)2 St., ECF No. 33, ¶ 1; ECF No. 30-2. CSAA also issued a Personal Umbrella Liability Policy (“Umbrella Policy”), covering the same individuals with the same effective date. ECF No. 30-2, at 42. In 2021, Montanaro commenced suit (the “Montanaro lawsuit”) against Yerushalmi, alleging defamation, libel per se, malice in fact, invasion of privacy, intentional infliction of emotional distress, and negligent infliction of emotional distress. Def.’s 56(a)2 St. ¶ 2; ECF No. 30-4. The complaint in the Montanaro lawsuit alleges that from March 2019 through June 2019, Yerushalmi published images and statements about Montanaro which : Falsely portrayed [Montanaro] in a demeaning, disparaging and offensive manner. . . . [F]alsely portrayed [Montanaro] in a lewd, lascivious, and sexually provocative manner. . . . [F]alsely attributed sexual conduct to [Montanaro]. . . . [F]alsely attributed to [Montanaro] a willingness to perform lewd, lascivious, sexual acts on, to or for others. . . . Said statements and images, alone and in combination, described and depicted [Montanaro] and her physical appearance in a manner invasive of [Montanaro’s] privacy and likely to cause [her] unwarranted and undeserved humiliation, embarrassment, vulnerability to ridicule, attack, scorn and shame. ECF No. 30-4 ¶ 4. The complaint further alleges that these statements and images were “published, posted, disseminated and circulated electronically, including on social media,” and were directed to Montanaro and Yerushalmi’s “common high school community and beyond, in a manner calculated to reach, be seen by, inform and influence the widest possible audience,” and that it in fact did reach this audience. Id. ¶¶ 5-6. Moreover, the complaint alleges that Yerushalmi was “instructed to cease, desist, refrain from and retract said publications” but “refused to do so and, in fact, continued to publish such statements and images.” Id. ¶ 7. On November 16, 2021, CSAA notified Yerushalmi through his counsel that it would not defend nor indemnify him in the Montanaro lawsuit. Def.’s. 56(a)2 St. ¶ 10; ECF No. 30- 3. A “stipulation of judgment was entered” in the Montanaro lawsuit on December 6, 2024. Def.’s 56(a)2 St. ¶ 12. CSAA commenced this action on September 11, 2024, ECF No. 1, seeking declaratory judgment that “CSAA has no obligation to defend or indemnify Jason Yerushalmi” in the Montanaro lawsuit.” See, e.g., Am. Compl. ¶ 50. 1. Homeowner’s Policy The Homeowner’s Policy purports to cover both Mark and Jayne Yerushalmi and “relatives” who are members of their “household,” presumably including Yerushalmi. ECF No. 30-2, at 9.

The “Personal Injury – Connecticut” endorsement of the Homeowner’s Policy defines personal injury as [I]njury arising out of one or more of the following offenses, but only if the offense was committed during the policy period: . . . 3. Invasion of privacy . . . . 4. Publication of material, in any manner, that slanders or libels a person . . . . 5. Publication of material, in any manner, that violates a person’s right of privacy. ECF No. 30-2, at 39. The policy states that, in the event of a suit for damages “resulting from an offense, defined under ‘personal injury’, to which this coverage applies,” CSAA will “pay up to our limit of liability for the damages” and “provide a defense at our expense by counsel of our choice.” Id. The exclusions listed in the Personal Injury – Connecticut endorsement replace the exclusions in the Homeowner’s Policy and provide that the policy will not apply to: 1. “Personal injury”: a. Caused by or at the direction of an “insured” with the knowledge that the act would violate the rights of another and would inflict “personal injury”; b. Arising out of publication of material, in any manner, if done by or at the direction of an “insured” with knowledge of its falsity; . . . d. Arising out of a criminal act committed by or at the direction of an “insured”. Id . 2. The Umbrella Policy The Umbrella Policy purports to cover Mark and Jayne Yerushalmi and any “family member,” including a “relative” who is a “resident of your household.” ECF No. 30-2, at 44. It expands the coverage limits and provides additional coverage to the “underlying insurance,” which here includes the Homeowner’s Policy. Id. at 45. The Umbrella Policy includes the

following definition of personal injury: K. “Personal injury” means injury arising out of one or more of the following offenses but only if the offense was committed during the policy period: . . . 4. Oral or written publication of material that slanders or libels a person . . . 5. Oral or written publication of material that violates a person’s right of privacy. Id. The Umbrella Policy states that CSAA “will pay damages in excess of the ‘retained limit’” (defined as the “total limits of any ‘underlying insurance’ . . . that applies to an . . . offense”) for “‘Personal injury’ for which an ‘insured becomes legally liable due to one or more offenses listed under the definition of ‘personal injury’ to which this insurance applies.” Id. The Umbrella Policy also states that the insurer will “provide a defense at our expense by counsel of our choice, even if the suit is groundless, false or fraudulent.” Id. However, the Umbrella Policy contains exclusions to this coverage, including: 2. “Personal injury”: a. Arising out of oral or written publication of material, if done by or at the direction of the “insured” with knowledge of its falsity; . . . c. Arising out of a criminal act committed by or at the direction of the “insured” . . . . Id. at 46. B. Procedural History CSAA filed the Complaint in this case on September 11, 2024, ECF No. 1, and an Amended Complaint on December 30, 2024, ECF No. 18. Yerushalmi filed an Answer and Counterclaims on January 6, 2025.1 CSAA filed a Motion to Dismiss Counterclaims Four and Five on January 24, 2025. ECF No. 22. On September 16, 2025, I granted the Motion to Dismiss. ECF No. 35. On April 7, 2025, CSAA filed this Motion for Summary Judgment. ECF No. 28. Response and Reply briefs were filed on April 28, 2025 and May 12, 2025 respectively. ECF Nos. 31, 34. After my ruling on the Motion to Dismiss, Yerushalmi filed an amended Answer on

October 17, 2025. ECF No. 37. CSAA filed a renewed Motion to Dismiss Counterclaim Five on October 30, 2025. ECF No. 39. Response and Reply briefs were filed on December 3, 2025 and December 17, 2025. ECF Nos. 43, 44.

1 This case was transferred to me from the Honorable Vernon D. Oliver on January 6, 2025. II. LEGAL STANDARD A. Declaratory Judgment Standard Under the Declaratory Judgment Act, in “a case of actual controversy within its jurisdiction,” a federal court “may declare the rights and other legal relations of any interested party seeking such declaration, whether or not further relief is or could be sought.” 28 U.S.C.

§ 2201.

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CSAA Fire & Casualty Insurance Company v. Jason Yerushalmi, Counsel Stack Legal Research, https://law.counselstack.com/opinion/csaa-fire-casualty-insurance-company-v-jason-yerushalmi-ctd-2026.