Collateral provider sues Chubb over alleged $8.7 million letter of credit grab

The suit, filed March 17, 2026, in the United States District Court for the Southern District of New York, was brought by 1970 Group, Inc., a collateral funding provider, against ACE American Insurance Company, part of the Chubb group of insurance companies. The case centers on what the filing describes as an “unjust collateral grab” tied to the insurance program of a now-defunct New York construction company.