Nicholas M. Hudnell

Nick is a member of the insurance coverage team that obtained a money judgment in excess of $110 million in unpaid defense costs and prejudgment interest against a general liability insurer for a publicly traded policyholder client in connection with high-exposure toxic tort claims in early 2024.

Nick earned his J.D., summa cum laude, from the Cleveland State University College of Law, where he was an Articles Editor for the Cleveland State Law Review and a member of the Black Law Students Association. He earned his B.A. in Political Science, with a Minor in Black Studies, graduating summa cum laude, from Cleveland State University.

He joined Calfee in 2022 after gaining experience as a Summer Associate with the firm. He also served as a Judicial Extern for the Honorable Judge Solomon Oliver, Jr.

Nick began serving on Calfee's Diversity, Equity & Inclusion Committee in 2024 and is Co-Chair of the Calfee Inclusion Network, one of the Firm's employee resource groups for diverse attorneys and staff.

Education

J.D., summa cum laude, Cleveland State University College of Law, Cleveland State Law Review Articles Editor, 2022

B.A., summa cum laude, Political Science, Minor in Black Studies, Cleveland State University, 2019

Experience

Representative Construction and Real Estate Litigation Matters

• Calfee is representing a manufacturer of building products in a matter involving a payment bond claim and related litigation with a construction industry insurance company. Calfee's client sold more than $1 million of construction products to its customer to install as part of a construction project for a U.S. government entity. The customer purchasing the construction products was a subcontractor to the project. After the subcontractor failed to pay for the products delivered to the project, Calfee's client made a claim under a payment bond, which was issued by the insurance company to guarantee payment by the subcontractor. After Calfee's client made the claim against the insurance company payment bond, the insurance company filed a lawsuit in United States District Court asserting claims against the subcontractor alleging that they fraudulently induced the insurance company to issue the payment bond. The insurance company also has filed a declaratory judgment claim against Calfee's client seeking a declaration from the court that it is not obligated to make payment to Calfee's client under the bond. Calfee represents our client in the lawsuit and has filed counterclaims against the insurance company for breach of contract and a declaratory judgment that the insurance company is obligated to make payment to our client under the bond.
• Calfee served as litigation counsel for a publicly traded, Fortune Global 500, European company client in connection with an attempt to exercise a right of first refusal for an industrial property. The client is the successor in interest to certain parcels of real property in the Midwest. An adjoining landowner gave the client company’s predecessor a right of first refusal to purchase its property, but it later transferred the property to an affiliated entity and sold the entity’s membership interests to a third party. The client's operations would have been adversely impacted by the current owner's intended use, but Calfee was able to obtain a favorable settlement for the client that involved the transfer of a portion of the disputed property.

Representative Insurance Coverage Matters

• Calfee is serving as Ohio policyholder litigation counsel to an American manufacturer for a federal insurance coverage lawsuit pending in United States District Court in which the client has sued a publicly traded insurance company seeking insurance coverage for defense costs and indemnification against any eventual settlement or judgment in connection with underlying class-action litigation alleging harm resulting from contaminated products. This matter is important because it involves unique issues of the interpretation and application of a batching provision in relationship to the definition of “occurrence.”
• Calfee’s client, a publicly traded global company, has faced claims in multiple states from both government regulators and private claimants alleging that its chemical emissions have resulted in injury. Calfee is serving as the client’s lead insurance coverage counsel, designing and implementing a coverage strategy to secure defense and indemnification from certain of the client’s insurers. This matter is important because of the high-profile public nature and alleged public health hazards. The insurance coverage issues involve challenging questions surrounding the interpretation and application of key insurance policy provisions. There is a reasonable likelihood the newly filed lawsuit will set a precedent that will be cited and relied upon by courts nationwide on the scope of pollution exclusions appearing in commercial general liability (CGL) insurance policies.
• Calfee is serving as outside insurance coverage counsel for a privately held, billion-dollar U.S. and Canadian manufacturing company. Calfee is guiding the client through two separate disputes alleging damage resulting from alleged product defects. These matters present unique and challenging issues pertaining to the interpretation and application of commercial general liability coverage grants and retentions.
• Calfee served as lead policyholder-side insurance coverage trial counsel in a federal coverage lawsuit filed by a publicly traded, Fortune 500 insurance company against its policyholder Calfee client, a California-based real estate investment trust, alleging no coverage for a bodily injury lawsuit based upon theories of late notice and resulting prejudice. This matter is important because it involves key questions of Ohio default judgment law and the scope and length of an insurer’s duty to defend when a matter has not yet been fully appealed.