Landmark American Insurance Company successfully moved to dismiss four of the insured's six counts. Landmark Am Ins. Co. v. Studio Imports, Ltd., Inc., Nos. 4D10-5001 and 4D10-5073 (Fla. Dist. Ct. App. Nov. 16, 2011). The trial court did not dismiss the breach of contract claim and the bad faith claim. Because both claims
2011
Granting Stay, Federal Court Reviews Construction Defect Coverage in Hawaii
By Tred R. Eyerly on
The federal district court ultimately stayed a construction defect case, but offered comments on the current status of coverage disputes for such defects in Hawaii. See National Union Fire Ins. Co. of Pittsburgh, Pa. v. Simpson Mfg. Co., 2011 U.S. Dist. LEXIS 128481(D. Haw. Nov. 7, 2011).
National Union filed a complaint for…
All Risk Policy Only Covers Repair to Portion of Dock That Sustains Damage
By Tred R. Eyerly on
A portion of a dock on Lack Michigan operated by the Ports of Indiana suffered visible damage. See Ports of Indiana v. Lexington Ins. Co., 2011 U.S. Dist. LEXIS 130979 (S.D. Ind. Nov. 14, 2011). Lexington Insurance Company insured the port. Lexington agreed that a portion of the dock was damaged and…
Welcome to New Construction Blog
By Tred R. Eyerly on
Congratulations to Anna Oshiro and Christi-Anne Kudo Chock, my Damon Key colleagues, who have rolled out their new blog, www.hawaiiconstructionlaw.com. Anna and Christi have a wealth of experience in construction law, litigating and arbitrating major construction-related cases, in addition to authoring articles and book chapters. We look forward to reading posts on…
Eighth Circuit Remands To Determine Applicability of Collapse Exclusion
By Tred R. Eyerly on
The Eighth Circuit determined a jury instruction regarding the applicability of the "all-risk" policy's exclusion for "collapse" was inadequate. See KAAPA Ethanol, LLC v. Affiliated FM Ins. Co., 2011 U.S. App. LEXIS 22158 (8th Cir. Nov. 3, 2011).
KAAPA had nine large, cylindrical, stainless steel tanks fabricated at its location. Soon after operations…
Happy Birthday To Us!
By Tred R. Eyerly on
We enter our fifth year of blogging this week. It has been an interesting journey, over 500 posts now, unquestionably a self-education in insurance issues, as well as a mechanism for connecting with others.
And we have readers, too. Again, thanks for the support this year, compelling us search for material worth posting, and…
Tenth Circuit Finds Insurer Must Defend Unintentional Faulty Workmanship
By Tred R. Eyerly on
Applying Colorado law, the Tenth Circuit found a duty to defend construction defect claims where the faulty workmanship was unintentional. Greystone Const. Inc. v. National Fire & Marine Ins. Co., 661 F.3d 1272 (10th Cir. 2011). A prior post [here] discussed the Tenth Circuit's certified question to the Colorado Supreme Court…
Illinois Court Determines Insurer Must Defend Negligent Misrepresentation Claim
By Tred R. Eyerly on
Although the insureds disclosed flooding problems in the basement, the buyers purchased their home. USAA Cas. Ins. Co. v. McInerney, 2011 Ill. App. LEXIS 1130 (Ill Ct. App. Oct. 31, 2011). In a supplemental disclosure, the insureds reported that during heavy rains light seepage occurred in the basement.
After moving in, the…
Excess Carrier Successfully Appeals Primary Insurer’s Summary Judgment Award
By Tred R. Eyerly on
Although the excess carrier was given inadequate notice of the underlying arbitration, the trial court determined it shared responsibility with the primary carrier for the arbitration award. Finding disputed issues of fact, the Washington Court of Appeals reversed in Am. States Ins. Co. v. Century Surety Co., 2011 Wash. App. LEXIS 2488 (Wash.
Ensuing Loss Provision Does Not Salvage Coverage
By Tred R. Eyerly on
Water intrusion caused by a contruction defect was not covered under the all risk policy's ensuing loss provision. See Friedberg v. Chubb & Son, Inc., 2011 U.S. Dist. LEXIS 123582 (D. Minn. Oct. 25, 2011).
Extensive water damage was discovered in the insureds' home when a small hole in the exterior…