Rejection of Amber Heard Defense Coverage Underscores Importance of Choice of Law

The Ninth Circuit has affirmed victory for New York Marine and General Insurance Co. in its legal battle with Amber Heard over the cost of defending defamation claims brought against the actress by ex-husband, Johnny Depp. New York Marine and Gen. Ins. Co. v. Heard, No. 23-3399 (9th Cir. Nov. 25, 2024). The decision, premised on Virginia law, rather than the policyholder’s favored California law, underscores the potential for choice of law to have case-dispositive implications.

Background

New York Marine insured Amber Heard under a liability insurance policy which, like most liability insurance policies, included a broad duty to cover the cost of Heard’s legal defense. Prior to notifying the New York Marine of the claims of defamation brought against her by ex-husband, Johnny Depp, Heard had retained the law firm of Cameron…