OPINION
RABINOWITZ, Justice.
Arctic Coast Fisheries, Inc. (Arctic) sued the City of Valdez for wrongfully terminating a lease of a city building to Arctic for use as a fish processing plant. Arctic sought both compensatory and punitive damages. Thereafter Providence Washington Insurance Co. (Providence), the insurance carrier for Valdez, instituted a declaratory judgment action against Valdez, seeking a declaration that the liability insurance policy it...
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