Somerset Savings Bank v. Chicago Title Ins. Co.

Somerset Savings Bank (plaintiff) bought title insurance from Chicago Title (defendant) for a Revere, Massachusetts construction loan, with the policy excluding coverage for legal restrictions on land use; after construction began, the city halted the project because state consent -- required due to the property's history of railroad ownership -- had never been obtained for the building permit, and Chicago Title denied coverage, prompting Somerset's suit for breach of contract and negligence, both dismissed by summary judgment at the trial and appellate levels.