Are you covered? Comprehensive green building liability insurance not quite ready for prime time


The U.S. Green Building Council’s (USGBC)

minimum program requirements for buildings

certified under its Leadership in Energy and

Environmental Design (LEED) program is now in effect for certifications issued under the LEED 2009 process. The requirements include mandatory reporting of energy and water usage for a five-year period after occupancy and provide for potential revocation of LEED certification for noncompliance. While it is unclear what level of noncompliance would result in LEED decertification, the mere threat increases the litigation risk for builders, engineers and design professionals, and should send them scrambling to check their insurance coverages and perhaps shopping for specific green building coverage. What they will find, however, may not be very comforting.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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