Charter School Sponsor Sues Insurance Company Over Costs Of Establishment Clause Battle

In February 2011, the ACLU of Minnesota reached a settlement agreement with Islamic Relief USA and Minnesota's commissioner of education in a long-running lawsuit accusing a charter school, TiZA, of violating the establishment clause by promoting Islam. (See prior posting.) Now Islamic Relief (which was TiZA's sponsor) has filed suit against an insurance company for reimbursement of $1 million in cost and fees plus the settlement payment of $267,500 it incurred. The complaint (full text) in Islamic Relief USA v. Minnesota School Boards Association Insurance Trust, (D MN, filed 11/13/2012) alleges that the insurance company breached the insurance contract by refusing to provide a defense to Islamic Relief, and that the insurance company is obligated under the policy to indemnify Islamic Relief for the amounts it was required to pay as damages for alleged violations of civil rights. Courthouse News Service reports on the lawsuit.