The Connecticut high court ruled that when an insurer cancels a workers' compensation insurance policy, that insurer must comply with not only the Workers' Compensation Act, but with contract law, stipulating the cancellation notice must be definite and unambiguous.

The plaintiff, Thomas Napolitano, who owns the business Napolitano Roofing, accused Ace American Insurance Co., the defendant, of breach of contract when Ace canceled Napolitano's workers' compensation insurance despite conflicting communication.