News & Analysis as of

Construction Defects Duty to Defend

Carlton Fields

California Federal Court Holds Scope of Duty to Defend Is Determined by the Language of the Contract

by Carlton Fields on

In Harper Construction Co. v. National Union Fire Insurance Co. of Pittsburgh, the Southern District of California rejected an insured’s attempt to expand a CGL policy’s definition of “suit” to encompass mere demands without...more

Jones, Skelton & Hochuli, P.L.C.

Arizona Legislature Makes Significant Revisions to Shape of Construction Defect Claims

Amberwood Development, Inc. v. Swann’s Grading, Inc. - On April 10, 2019, Governor Doug Ducey signed SB 1271 into law. The product of over two years of lobbying and interest group meetings, this bill makes significant...more

Traub Lieberman Straus & Shrewsberry LLP

Illinois Court Addresses Coverage Owed For Subcontractor’s Defective Work

In Acuity Ins. Co. v. 950 W. Huron Condo. Ass’n, 2019 IL App (1st) 180743, the Illinois Court of Appeals held that a claim against a subcontractor for damage caused to property outside the scope of its work satisfied the...more

Faegre Baker Daniels

Illinois Appellate Court Rejects Federal Insurance Coverage Analysis, Finds Duty to Defend Against Construction Defect Allegations

by Faegre Baker Daniels on

On March 29, 2019, the Illinois Appellate Court issued an opinion clarifying when a duty to defend against construction defect allegations exists under a subcontractor’s commercial general liability (CGL) policy. The decision...more

Pepper Hamilton LLP

Boring Through The Details: U.S. District Court Declares Boring Company Dispute Not Covered by Insurance Policies

by Pepper Hamilton LLP on

Maxum Indemnity Co. v. Robbins Co., P.C., No. 1:17-CV-01968, 2018 U.S. Dist. LEXIS 57729 (N.D. Ohio Mar. 28, 2018) - On March 21, 2018, the United States District Court for the Northern District of Ohio granted a motion...more

Traub Lieberman Straus & Shrewsberry LLP

Fourth Circuit Finds Multiple Bridge Collapses Constitute “Related Claims”

On November 7, 2018, the Fourth Circuit Court of Appeals affirmed summary judgment in favor of an insurer holding that the collapse of two pedestrian bridges designed by the insured arose out of “related claims” under the...more

Reminger Co., LPA

Ohio Supreme Court Rules That Construction Defects in the Work of Subcontractors Are Not Covered Under a CGL Policy

by Reminger Co., LPA on

On October 9, 2018, in the case of Ohio N. Univ. v. Charles Constr. Servs. Inc., Slip Opinion No. 20018-Ohio-4057, the Ohio Supreme Court ruled that an insurer has no obligation to defend or indemnify a commercial general...more

Pepper Hamilton LLP

Applying Florida’s “Eight Corners Rule,” Eleventh Circuit Finds that Insurer Has a Duty to Defend Claim That Insured’s Faulty...

by Pepper Hamilton LLP on

Addison Ins. Co. v. 4000 Island Blvd. Condo. Ass’n, 2017 U.S. App. LEXIS 26870 (11th Cir. Dec. 28, 2017) - The owner of a high-rise condominium building in Florida hired a contractor to replace the building’s concrete...more

Rumberger Kirk & Caldwell

Chapter 558 Pre-Suit Notice May Trigger an Insurer's Duty to Defend and Indemnify

by Rumberger Kirk & Caldwell on

The Supreme Court of Florida recently issued an opinion in Altman Contractors, Inc. v. Crum & Forster Specialty Ins. Co., No. SC16-1420, 2017 WL 6379535 (Fla. Dec. 14, 2017), which impacts an insurer’s duty to defend and...more

Shumaker, Loop & Kendrick, LLP

Client Alert: Florida Supreme Court Weighs in on CGL Carriers’ Duty to Defend Chapter 558 Claims

Since its enactment in 2003, Chapter 558, Florida Statutes (commonly referred to as Florida’s notice and opportunity to cure provision) has governed the pre-suit notice and opportunity to repair process between owners,...more

Saul Ewing Arnstein & Lehr LLP

An Insurer’s Duty to Defend is Now Triggered by Pre-Suit Notices Under Florida’s Construction Defect Statute, But Only With an...

In a case of first impression that will undoubtedly have significant effects on Florida’s construction and insurance industries, the Florida Supreme Court recently decided that an insurer’s duty to defend under a standard...more

Nossaman LLP

AIG Must Defend Additional Insureds

by Nossaman LLP on

That it took an appellate court to order AIG’s Lexington Insurance to honor its additional insured obligations is a measure of how frequently insurers attempt to dodge this important contractual obligation. The case of...more

Haight Brown & Bonesteel LLP

Ownership is Not a Conclusive Factor for Ongoing Operations Additional Insured Coverage

by Haight Brown & Bonesteel LLP on

In McMillin Management Services v. Financial Pacific Ins. Co. (No. D069814, filed 11/14/17), a California appeals court held that an insurer had a duty to defend a general contractor under an “ongoing operations” additional...more

Perkins Coie

Absolute Pollution Exclusion—Not So Absolute

by Perkins Coie on

Slapping insurers with breach of contract and bad faith, Washington state’s highest court recently found that a general liability policy’s so-called “absolute” pollution exclusion may not be so absolute. In Xia et al. v....more

Sherman & Howard L.L.C.

Construction Advisory: Passage, Defeat, and Uncertainty: The Colorado General Assembly Tackles Construction Defect Reform in the...

by Sherman & Howard L.L.C. on

The Colorado General Assembly is heading towards the conclusion of this year’s legislative session. Although one construction defect bill, House Bill 1279, passed the House and is expected to pass the Senate, most bills have...more

Pepper Hamilton LLP

No Negligence? No Causation? No Problem. Arizona Appellate Court Holds General Contractor Need Not Prove Subcontractor’s...

by Pepper Hamilton LLP on

Amberwood Dev., Inc. v. Swann’s Grading, Inc., No. 1 CA-CV 15-0786, 2017 Ariz. App. Unpub. LEXIS 207 (Ct. App. Feb. 23, 2017) - This case arose out of a housing development project, with Amberwood Development Inc....more

Traub Lieberman Straus & Shrewsberry LLP

California Court Holds Continuous Progressive Injury Exclusion Applicable to Construction Defect Claim

In its recent decision in Saarman Construction, Ltd. v. Ironshore Specialty Ins. Co., 2017 U.S. Dist. LEXIS 13633 (N.D. Cal. Jan 31, 2017), the United States District Court for the Northern District of California had occasion...more

Traub Lieberman Straus & Shrewsberry LLP

Montana Supreme Court Holds Co-Insurer Breached Duty to Defend

In its recent decision in J & C Moodie Properties, LLC v. Deck, 2016 MT 301 (Mont. Nov. 22, 2016), the Supreme Court of Montana had occasion to consider what constitutes a breach of an insurer’s duty to defend in a...more

Traub Lieberman Straus & Shrewsberry LLP

California Court Rejects Primary Carrier’s Excess Other Insurance Position

In its recent decision in Certain Underwriters at Lloyds, London v. Arch Specialty Ins. Co., 2016 Cal. App. LEXIS 275 (Cal. App. Apr. 11, 2016), the Court of Appeal of California for the Third Appellate District had occasion...more

Traub Lieberman Straus & Shrewsberry LLP

Florida Court Holds No Duty to Defend Construction Defect Suit

In its recent decision in Core Construction Services Southeast v. Crum & Forster Specialty Ins. Co., 2015 U.S. Dist. LEXIS 163695 (S.D. Fla. Dec. 7, 2015), the United States District Court for the Southern District of Florida...more

Manatt, Phelps & Phillips, LLP

Insurance Recovery Law - November 2015

Despite Prior Suits, Policyholder Entitled to Coverage for DOJ Investigation - Why it matters: A policyholder was entitled to coverage for a Department of Justice (DOJ) investigation despite already facing possibly...more

Dentons

11th Circuit to decide whether construction defect notice under Florida repair statute is a “suit”

by Dentons on

Recently, the United States District Court for the Southern District of Florida addressed what constitutes a “suit” within the context of Florida’s right-to-repair procedure for construction defect disputes. In Altman...more

Carlton Fields

For “At-Issue Waiver,” The Best Defense May Not Be An Affirmative Defense

by Carlton Fields on

As this blog has repeatedly documented, it can be hard for insurers to assert the attorney-client privilege in the context of bad faith litigation. One difficulty arises in states that enforce a presumption against the...more

Carlton Fields

Construction Case Law Update - July 2015 #2

by Carlton Fields on

CGL Policies; Declaratory Judgments; Appeal of a Partial Final Judgment – A commercial general liability insurer and its insured sought declaratory relief over the question of insurance coverage and the duty to defend...more

Carlton Fields

Construction Case Law Update - July 2015

by Carlton Fields on

Involuntary Dismissal of Counterclaims – In a suit between a developer and general contractor, the trial court erred in dismissing the general contractor’s counterclaims, without a motion by the developer, before the...more

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