Kink.com's Insurer Must Pay Porn HIV Litigation Costs — Judge

Kink.com's Insurer Must Pay Porn HIV Litigation Costs — Judge

SAN FRANCISCO — A federal judge yesterday told Kink.com’s insurer that it can’t avoid covering litigation costs over performers infected with HIV.

Atain Specialty Insurance Company sued Kink.com CEO Peter Acworth and Armory Studios LLC last year, claiming that he and his studio's property must cover his own legal bills and possible settlements in three suits filed by HIV-infected former performers Cameron Bay, Rod Daily and an unidentified John Doe.

The three plaintiffs all claim they were infected while working for Kink at Armory Studios properties, which are owned by Acworth.

Two of the performers infected — Bay and Daily — said that they were subjected to unprotected sex with members of the public. Doe said he was infected while performing in “Bound in Public.”

Atain attorney GailAnn Stargardter argued during a summary judgment hearing yesterday that the “physical and sexual abuse” exemption in the Armory insurance policy exempts Atain from paying off any court costs and claims.

Stargardtner contended that the Armory was complicit in requiring porn performers to perform without condoms and that her client is not required to defend Acworth or Armory in any lawsuit arising from a sexual act.

U.S. District Judge James Donato disagreed, ruling the insurance policy does not exclude coverage for litigation arising from any sexual act that occurs on the premises.

Donato said that whether the studio took adequate steps to protect actors is irrelevant, because the exclusion only covers sexual acts caused by an omission.

“The presence or absence of HIV safeguards did not cause them to have sex,” said Donato, according to Courthouse News, which covered the hearing at San Francisco federal court yesterday.

Donato said the injury was caused by alleged negligence, not the sexual act.

“How did anything the building owner do cause them to have sex?” Donato asked. “They were paid actors, paid to have sex. There’s no omission you can hang your hat on to deny coverage.”

Kink.com attorney Karen Tynan — one of the key leaders of the campaign to defeat the now-failed, porn-regulating Proposition 60 in California — told XBIZ on Friday that the ruling centered on the fact that Atain tried to use a "sexual abuse exclusion" that was intended for churches and schools.  

“It was an attempt to avoid coverage after enjoying the premiums,” Tynan said. “We are pleased that the judge saw through the bad faith of the insurance company.”

The decision, however, will likely be telegraphed to insurers that closely weigh risks when calculating premiums for film productions.

Even though the case involves a specific insurance contract and unique facts, the decision could be precedential, observed industry attorney Larry Walters.

“Insurance policies tend to use the same definitions and exclusions,” Walters told XBIZ. “So one decision interpreting a specific policy could have broad implications for similar cases, and for the insurance industry in general.”

Tynan offered a number of tips for producers of adult content when it comes to insurance coverage, which is necessary for any business.

“The ‘takeaway’ for producers is this — insurance is important,” Tynan said. “Work closely with your broker to understand your general liability policy, have good safety practices on set, and keep documentation — emails, notes, written policies, etc.”

Recent Attain filing to Rebut Kink

Related:  

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Texas Resumes AV Lawsuit Against Aylo Following SCOTUS Decision

A district court judge in Texas has unfrozen the state’s $1.6 million lawsuit against Aylo for allegedly failing to comply with age verification requirements, Bloomberg Law is reporting.

Nadia Jay Stars in Latest From Brazzers

Nadia Jay stars with Mick Blue in the latest release from Brazzers, titled "Fucking the Bath Voyeur."

Tommy Gunn Reflects on His Legendary Past as He Looks to the Future

Tommy Gunn is wearing an eyepatch. It’s not an homage to the classic "Pirates" porn parody franchise, in which Gunn takes on the Johnny Depp role. The eyepatch is a temporary measure to help him deal with a nerve palsy that came out of nowhere several years ago and affects his vision from time to time. Gunn needs his vision. As one of the adult industry’s longest-serving male stars, he still has plenty to look forward to.

Rocco Siffredi Directs New Rebel Rhyder Showcase

Evil Angel has released Rocco Siffredi’s Rebel Rhyder showcase title, "Rebel Meets Rebel."

JuicyAds Wins Trademark Infringement Case Against Fraudulent Domain

JuicyAds has won its World Intellectual Property Organization (WIPO) case against a website using a similar domain to impersonate the company's site and defraud customers.

Shalina Devine Toplines 'Thr3e #7' From Dorcel

Shalina Devine headlines the latest release from Dorcel, titled "Thr3e #7."

Chloe Amour Headlines 'Unfaithful Betrayal 3' From Bellesa Films

Chloe Amour toplines the third volume of “Unfaithful Betrayal” from Bellesa Films.

Anissa Kate, Jordan Starr Top AEBN for Q2 of 2025

AEBN has published its top-selling stars for the second quarter of 2025, with Anissa Kate landing atop the leaderboard for straight theaters and Jordan Starr heading up the gay rankings.

Misty Addams Makes Her WIFEY Debut

Misty Addams stars with husband Island Boy Brandon and 2024 XMA Europas Male Performer of the Year Christian Clay in the latest release from Vixen Media Group studio imprint WIFEY.

AEBN Reveals Eva Maxim as Top Trans Star for Q2 of 2025

AEBN has published its top trans stars list for the second quarter of 2025, with Eva Maxim landing atop the leaderboard.

Show More