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International Trade Bulletin - Volume 1, Issue 12

Insights

Client Alert | 4 min read | 02.17.26

Texas Federal Court Hands Cyber Policyholders Major Win in Southwest Airlines Coverage Dispute

On January 27, 2026, the U.S. District Court for the Northern District of Texas ruled favorably for policyholders in a major ongoing cyber-insurance dispute between Southwest Airlines and Liberty Insurance when it accepted the Magistrate Judge's findings and recommendations in Southwest Airlines Co. v. Liberty Insurance Underwriters Inc., Civil Action No. 3:19-CV-2218-E, the court reinforced critical legal protections for policyholders facing coverage denials. ...