http://www.lexisnexis.com/mealeys/news.aspx Headline Construction Defects Insurance Legal News from LexisNexis® en-us http://www.lexisnexis.com/mealeys/images/lexismealeyslogo.gif 130 29 http://www.lexisnexis.com/mealeys/news.aspx Copyright 2020 http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%201%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' ST. LOUIS - An insurer has a duty to defend alleged damages from a luxury apartment complex's leaky roof because the claims fall within the policy's scope and there are no applicable exclusions, an Eighth Circuit U.S. Court of Appeals panel affirmed Jan. 30 (Westfield Insurance Co. v. Miller Architects & Builders, Inc., No. 18-2970, 8th Cir., 2020 U.S. App. LEXIS 2972). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%202%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' FORT MYERS, Fla. - A commercial general liability insurer has no duty to defend an underlying construction defects case because there are no allegations of damage that extend beyond faulty workmanship, a Florida federal judge ruled Jan. 29 (Southern-Owners Insurance Co. v. MAC Contractors of Florida LLC, et al., No. 18-21, M.D. Fla., 2020 U.S. Dist. LEXIS 14611). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%203%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW ORLEANS - An insurer sued Make it Right Foundation (MIRF) and the charity foundation's officers on Jan. 24 in a Louisiana federal court, alleging that it has no duty to defend or indemnify underlying claims of poor workmanship in homes built after Hurricane Katrina (TIG Insurance Co. v. Make It Right Foundation, et al., No. 20-00262, E.D. La.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%204%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' DALLAS - In the third appeal in an insurance coverage dispute, a Texas appeals panel on Jan. 9 affirmed a ruling allocating a $2.4 million construction defects arbitration award between two commercial general liability insurers and denying the insureds' request for attorney fees incurred in the first appeal (Great American Lloyds Insurance Co., et al. v. Vines-Herrin Custom LLC, et al., No. 05-18-00337-CV, Texas App., 5th Dist., 2020 Tex. App. LEXIS 230). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%205%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' WEST PALM BEACH, Fla. - An insurance policy's exclusion for "projects and operations covered by a consolidated (wrap-up) insurance program" (OCIP exclusion) precludes coverage to an additional insured for an underlying construction defects lawsuit, a Florida federal magistrate judge held Jan. 24, finding that the insurer has no duty to defend (Liberty Mutual Fire Insurance Co. v. Southern-Owners Insurance Co., No. 18-81018, S.D. Fla., 2020 U.S. Dist. LEXIS 12757). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%206%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' SEATTLE - While an insurance policy's one-year suit limitation clause precludes a condominium association from suing its insurer for breach of contract, a Washington appeals panel held Jan. 13 that the clause does not bar the association's extracontractual claims under the Washington Insurance Fair Conduct Act (IFCA) and the Washington Consumer Protection Act (CPA) (West Beach Condominium v. Commonwealth Insurance Company of America, No. 79676-3-I, Wash. App., Div. 1, 2020 Wash. App. LEXIS 58). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%207%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' LONDON, Ky. - A Kentucky federal judge on Jan. 23 refused to dismiss an insurer's case against its insured regarding coverage for roof repairs and allowed the insurer to amend its complaint to assert damages including $876,700 in repair costs (Frankenmuth Mutual Insurance Co. v. Balis Campbell, Inc., et al., No. 18-291, E.D. Ky., 2020 U.S. Dist. LEXIS 11321). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%208%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' DENVER - The 10th Circuit U.S. Court of Appeals on Jan. 9 held that the "flawed design" of a home's exterior insulation finishing system (EIFS) constitutes "faulty design" and, therefore, there is no coverage for water damage discovered within the EIFS (Mark Mock, et al. v. Allstate Insurance Company, No. 18-1407, 10th Cir.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%209%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' CHICAGO - An Illinois appeals panel on Jan. 10 affirmed a lower court's summary judgment ruling in favor of a business owners insurer based on the known loss doctrine because the insured knew that a construction project prompted by building code violations would cause a loss of business income before the inception of its insurance policy and the insured failed to disclose the construction project to the insurer (Dining Heritage, Inc. v. Leading Insurance Group Insurance Company, Ltd., et al., Ill. App., 1st Dist., 5th Div., 2020 Ill. App. Unpub. LEXIS 22). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2010%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' NATCHEZ, Miss. - A Mississippi federal judge on Jan. 30 determined than an insurer is not entitled to summary judgment on the issue of its duty to defend an insured for an underlying lawsuit arising out of the collapse of an insured building because there was sufficient extrinsic evidence available to the insurer that provided the insurer with notice that it may have a duty to defend the underlying lawsuit (Hudson Specialty Insurance Co. v. Talex Enterprises LLC, et al., S.D. Miss., 17-137, 2020 U.S. Dist. LEXIS 15412). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2011%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW HAVEN, Conn. - A Connecticut federal judge on Jan. 30 denied a motion to alter a judgment dismissing a breach of contract and bad faith suit filed against a homeowners insurer because recent developments in Connecticut law regarding coverage under collapse provisions for the deterioration of the foundation walls as a result of the use of defective concrete do not support a finding that coverage is owed to the insureds (Marianne Gilmore, et al. v. Teachers Insurance Co., No. 18-1856, D. Conn., 2020 U.S. Dist. LEXIS 14548). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2012%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' MIAMI - A commercial general liability insurer in a Jan. 22 complaint seeks a declaration from a Florida federal court that there is no duty to defend or indemnify a construction defect action filed against its insured, a declaration that two other insurers owe coverage and contribution from those two insurers for any indemnity payments made on the insured's behalf (Gemini Insurance Co. v. Delant Construction Co., et al., No. 20-20280, S.D. Fla.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2013%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN FRANCISCO - An insurer on Jan. 22 sued five other insurers in a California federal court seeking a declaration of their coverage obligations in the defense of a consolidated underlying construction defects case arising out of a Hampton Inn hotel project (ACE American Insurance Co. v. Old Republic General Insurance Corp., et al., No. 20-cv-00482, N.D. Calif.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2014%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' MINNEAPOLIS - A commercial general liability insurer tells a Minnesota federal court in a Jan. 13 complaint that there is no coverage for damages incurred from an insured's alleged delay and the abandonment of a unitized metal panel (UMP) system in favor of a different system (Liberty Insurance Corp. v. Kraus-Anderson Construction Co., et al., No. 20-00171, D. Minn.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2015%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' BIRMINGHAM, Ala. - An insurer alleges in a Jan. 10 complaint filed in an Alabama federal court that coverage does not exist for an additional insured for claims arising out of allegedly defective heating, ventilation and air conditioning (HVAC) installation work in a student housing complex because there is no "occurrence" and the work is otherwise excluded (Pennsylvania National Mutual Casualty Insurance Co. v. 3D Air Services, LLC, et al., No. 20-43, N.D. Ala.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2016%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' WEST PALM BEACH, Fla. - A subcontractor alleges in separate complaints filed Dec. 23 in a Florida federal court that two insurers breached their contracts by failing to defend and indemnify it as an additional insured against underlying allegations of defective work in an apartment building project (Orange & Blue Construction, Inc. v. HDI Global Specialty SE, No. 19-81707; Orange & Blue Construction, Inc. v. Underwriters at Lloyd's, London, No. 19-81708, S.D. Fla.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=17-1%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2017%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN FRANCISCO - A builders risk insurer recently asked the Ninth Circuit U.S. Court of Appeals to reverse a lower federal court's finding that a faulty workmanship exclusion does not preclude coverage for an insured's repair costs, arguing that the claimed loss was caused solely by the insured's and its subcontractor's faulty workmanship and construction (Engineered Structures, Inc. v. Travelers Property Casualty Company, No. 18-35588, 9th Cir.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-12%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%201%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' PASADENA, Calif. - A Ninth Circuit U.S. Court of Appeals panel on Dec. 4 reversed a federal judge in California's ruling awarding summary judgment to an insurer that refused to defend Pulte Home Corp. in two construction defect lawsuits brought by homeowners, finding that the lawsuits did not provide enough information to show that the occurrence did not happen during the policy period and that the insurer was unable to show that the business risk exclusion was applicable (Pulte Home Corp. v. TIG Insurance Co., No. 18-55792, 9th Cir., 2019 U.S. App. LEXIS 35988). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-12%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%202%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' DENVER - Finding no error in a lower court's interpretation of an insurance policy's definition of "suit," the 10th Circuit U.S. Court of Appeals on Dec. 6 affirmed that an insurer failed to assert a breach of contract claim against an insured for its alleged failure to pay per-occurrence deductibles that would have offset an amount the insurer paid to settle underlying water damage claims filed by townhome owners and an association (Mid-Continent Casualty Co. v. Greater Midwest Builders Ltd., et al., No. 18-3113, 10th Cir., 2019 U.S. App. LEXIS 36302). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-12%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%203%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' CHICAGO - A commercial general liability insurer had a duty to defend a general contractor against claims of $1.8 million in damages arising out allegedly faulty workmanship that led to a collapse, an Illinois appeals panel ruled Dec. 18, finding that "vague references" to damage to "personal property" are enough to allege "property damage" caused by an "occurrence" (Certain Underwriters at Lloyd's London, subscribing to certificate No. RTS000275-4 v. Metropolitan Builders, Inc., et al., No. 1-19-0517, Ill. App., 1st Dist., Div. 3, 2019 IL App [1st] 190517). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-12%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%204%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' RICHMOND, Texas - An insurer petitioned a Texas trial court on Nov. 26 for a declaratory judgment that it has no duty to defend underlying allegations arising out of construction defects in the remodeling of a home following a hurricane (United Specialty Insurance Co. v. Brickhouse Construction, LLC, No. 19-DCV-269030, Texas Dist., Fort Bend Co.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-12%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%205%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' FRESNO, Calif. - Insurers have no duty to defend or indemnify an underlying action over moisture damage to flooring in a student recreation center, a California federal judge ruled Dec. 27, because there is no alleged "property damage" as a contractor is seeking only reimbursement of back-charges to an insured's work (Employers Mutual Casualty Co., et al. v. North American Specialty Flooring, Inc., et al., No. 19-00544, E.D. Calif., 2019 U.S. Dist. LEXIS 221704). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-12%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%206%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' HARRISBURG, Pa. - A settlement agreement is ambiguous as to whether a contractor released its own insurers, including an insolvent insurer, from providing coverage for underlying construction defect claims on a project for an university, a majority of the Pennsylvania Supreme Court ruled Dec. 17, vacating a lower court's decision and remanding (Suffolk Construction Co. v. Reliance Insurance Co. [in liquidation], No. 40 MAP 2019, Pa. Sup., 2019 Pa. LEXIS 6972). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-12%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%207%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' MINNEAPOLIS - A Miller-Shugart settlement agreement between a marina and a contractor over defects claims is unreasonable, a Minnesota appeals panel held Dec. 16, because the "your work" exclusion in an insurance policy limits coverage and the agreement failed to allocate between covered and noncovered damages (King's Cove Marina, LLC v. Lambert Commercial Construction LLC, et al., No. A19-0078, Minn. App., 2019 Minn. App. LEXIS 389). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-12%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%208%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' SALT LAKE CITY - No coverage is owed to an insured for an underlying suit alleging that the insured's installation of attic insulation caused mold to develop in attics of condominium buildings because the installation of the insulation does not constitute an occurrence, a Utah federal judge said Dec. 23 in granting the insurer's motion for summary judgment (Cincinnati Specialty Underwriters Insurance Co. v. Green Property Solutions LLC, et al., No. 19-00010, D. Utah, 2019 U.S. Dist. LEXIS 220161). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-12%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%209%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' SEATTLE - The Ninth Circuit U.S. Court of Appeals on Dec. 27 affirmed a lower federal court's ruling that a claim alleging that an insured constructed a beetle-infested log home is barred from coverage by a commercial general liability insurance policy's exclusion for certain damages arising out of the insured's work (Northland Casualty Co. v. Joseph S. Mulroy, et al., No. 19-35085, 9th Cir., 2019 U.S. App. LEXIS 38702). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-12%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2010%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' MINNEAPOLIS - A waterpark owner petitioned the Minnesota Supreme Court on Jan. 7 to review a ruling affirming that a roof collapse allegedly caused by defective construction occurred outside the policy period of a commercial general liability insurance policy because there was evidence that the collapse was caused by progressive structural damage over a long period of time (Thumper Pond Resort, LLC v. Badger Midwest Holdings, LLC, et al., No. n/a, Minn. Sup.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-12%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2011%20(2020)&view=full&ORIGINATION_CODE=00144 target='_blank' BOSTON - A surety on Dec. 3 tells a Massachusetts federal court that it has no liability under a performance bond for $3.17 million in remediation costs for noncompliant subcontractor work because a contractor failed to comply with the bond's "express and unambiguous conditions precedent" (Arch Insurance Co. v. The Graphic Builders LLC, No. 19-12445, D. Mass.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%201%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' ANNAPOLIS, Md. - The Maryland Court of Special Appeals on Oct. 30 affirmed that subcontractors' insurer had a duty to defend a general contractor in a construction defect lawsuit regarding the subcontractors' work and upheld a judgment in favor of the contractor's insurer for $994,719.54 reduced by settlements (Selective Way Insurance Co. v. Nationwide Property and Casualty Insurance Co., et al., No. 755, Md. Spc. App., 2019 Md. App. LEXIS 918). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%202%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' PHILADELPHIA - A chimney and fireplace service provider filed a declaratory judgment action on Nov. 15 against its insurers in a Pennsylvania federal court regarding coverage for three underlying allegations of negligent work performed in chimney services (Estate Chimney & Fireplace, LLC v. IFG Companies, et al., No. 19-05374, E.D. Pa.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%203%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' PHILADELPHIA - Insured contractors and homeowners who are suing them in two underlying construction defects lawsuit filed two separate briefs in the Third Circuit U.S. Court of Appeals on Oct. 26, refuting a commercial general liability insurer's appeal of a federal court's ruling that it has a duty to defend against the underlying claims (Nautilus Insurance Company v. 200 Christian Street Partners LLC, et al., Nos. 19-1507 and 19-1506, 3rd Cir.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%204%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' FORT MYERS, Fla. - An insurer's declaratory judgment action over its duty to indemnify a general contractor and subcontractor in a construction defects case is unripe, a Florida federal judge ruled Oct. 30, granting the general contractor's motion to dismiss (Hartford Fire Insurance Co. v. Beazer Homes LLC, et al., No. 19-454, M.D. Fla., 2019 U.S. Dist. LEXIS 187810). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%205%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' HARTFORD, Conn. - In three opinions issued Nov. 12, the Connecticut Supreme Court determined that no coverage is afforded under homeowners insurance policies for the deterioration of cracking of the homeowners' foundation walls as a result of the use of defective concrete when the homes were built because the collapse provisions only provide coverage for the abrupt caving in or falling down of a structure (Steven Karas, et al. v. Liberty Insurance Corp., No. 20149, Steven L. Vera, et al. v. Liberty Mutual Fire Insurance Co., No. 20178, Edith R. Jemiola, trustee of the Edith R. Jemiola Living Trust, v. Hartford Casualty Insurance Co., No. 19978, Conn. Sup.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%206%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' CINCINNATI - A majority of the Sixth Circuit U.S. Court of Appeals on Oct. 30 reversed a lower federal court's summary judgment ruling in favor of an insurer, concluding that the policy's subrogation waiver is ambiguous as to whether the insurer can sue an additional insured for damage caused by negligence (Certain Underwriters at Lloyd's, London v. Sunbelt Rentals, Inc., No. 18-5617, 6th Cir., 2019 U.S. App. LEXIS 32461). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%207%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN FRANCISCO - An additional insured contractor alleges in a Nov. 7 complaint filed in a California federal court that a builders risk insurer breached its policy, acted in bad faith and violated California Business and Professions Code Section 17200 et seq., regarding its claim handling of water and mold-related damage in a construction project (Build Group, Inc. v. Liberty Surplus Insurance Corp., No. 19-07359, N.D. Calif.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%208%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' TAMPA, Fla. - A contractor sued a commercial general liability insurer on Nov. 21 in a Florida federal court, alleging that the insurer breached its contract and acted in bad faith by failing to respond to claims for additional insured coverage for an underlying construction defects action (Suffolk Construction Company, Inc. v. Auto-Owners Insurance Co., No. 19-02878, M.D. Fla.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%209%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' SHERMAN, Texas - A federal judge on Nov. 5 granted a residential home builder's request to add one of two insurers to its coverage dispute over the cost of $2 million in repairs to 49 homes that allegedly suffered damage from foundation issues (American Legend Homes v. Navigators Specialty Insurance Co., No. 19-00035, E.D. Texas, 2019 U.S. Dist. LEXIS 191341). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2010%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' HOUSTON - Citing a fungus or spore exclusion and business risk exclusions, an insurer alleges in a Nov. 18 complaint filed in a Texas federal court that there is no coverage for a $861,592.73 judgment for water penetration and mold growth at a 326-unit apartment complex (Acceptance Indemnity Insurance Co. v. SLI Framing Company, Inc., et al., No. 19-4531, S.D. Texas). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2011%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' MIAMI - There is no coverage for water intrusion caused by an insured's alleged negligent installation of impact-resistant windows and doors because the insured failed to give proper notice, a commercial general liability insurer says in a Nov. 1 complaint filed in a Florida federal court (Evanston Insurance Co. v. Impact Glass Services, LLC, et al., No. 19-24545, S.D. Fla.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2012%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' TALLAHASSEE, Fla. - A commercial general liability insurer on Nov. 1 sued its insured and homebuilders, seeking declaratory relief that there is no insurance coverage for an underlying enforcement action filed by the Florida attorney general over construction defects in homes sold throughout the state (Kinsale Insurance Co. v. PulteGroup, Inc., et al., No. 19-00544, N.D. Fla.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2013%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' ATLANTA - A commercial general liability insurer on Oct. 30 sought a declaratory judgment from a Georgia federal court that insureds' alleged breach of contract with homeowners and defective construction asserted in an arbitration demand do not constitute an "occurrence" under the policies (Mid-Continent Casualty Co. v. EREV, LLC, et al., No. 19-04888, N.D. Ga.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2014%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN JOSE, Calif. - A California court erred in sustaining demurrers without leave to amend in a construction defects insurance lawsuit because the discovery that an insurer's obligations to a subcontractor arose from fraudulent activity should not result in the general contractor's insurers avoiding their obligations to their insured "in their entirety," punishing the subcontractor's insurer for fulfilling its obligations to it insurer, the subcontractor's insurer argues in a Sept. 4 appellant brief filed in a California appellate court (The Travelers Indemnity Company of Connecticut v. Navigators Specialty Insurance Co., et al., No. H046784, Calif. App., 6th Dist.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=16-11%20Mealey%27s%20Constr.%20Defects%20Ins.%20Rep.%2015%20(2019)&view=full&ORIGINATION_CODE=00144 target='_blank' DENVER - A precast concrete company is asking the 10th Circuit U.S. Court of Appeals to reverse a district court's order and find that its insurer wrongly denied the company's claim related to an underlying complaint against the company in which the plaintiffs alleged construction defects on a building project (Rocky Mountain Prestress LLC v. Liberty Mutual Fire Insurance Company, No. 19-1169, 10th Cir.).