Retail Systems v. CNA Insurance

Citation: Retail Sys., Inc. v. CNA Ins. Cos., 469 N.W.2d 735 (Minn. App. 1991).

Factual Background
A computer consultant filed a declaratory judgment action against its insurer seeking a declaration that its general liability policy provided coverage for the loss of a client’s computer tape and data and that the insurer was required to defend him against the client's action for damages.

District Court Decision
Finding that the data constitute tangible personal property the court said:


 * The data on the tape was of permanent value and was integrated completely with the physical property of the tape. Like a motion picture, where the information and the celluloid medium are integrated, so too were the tape and data integrated at the moment the tape was lost.