In January, we reported on the Hawaii Intermediate Court of Appeal's decision in Kim v. Liberty Mutual Fire Ins. Co., 124 Haw. 415, 245 P.3d 488 (Haw. Ct. App. 2010) (prior post here). The ICA determined that legislation had overruled the Supreme Court's decision in Wilson v. AIG, 89 Haw. 45, 968
2011
Insured’s Claim Against Agent Survives Statutue of Limitations Challenge
By Tred R. Eyerly on
After being sued for failure to secure a policy, the insurance agents sought dismissal of the insured's suit on statute of limitations ground. Kelly v. Lodwick, 2011 Fla. App. LEXIS 4810 (Fla. Ct. App. April 6, 2011).
A private school was notified its policy would not be renewed after it lapsed on…
Claim for Lost Business Opportunities Survives Summary Judgment
By Tred R. Eyerly on
Lost business opportunities after Hurricane Katrina hit was the issue before the court in Safeguard Storage, Properties, L.L.C. v. Donahue Favret Contractors, Inc., 2011 La. App. LEXIS 391 (La. Ct. App. March 31, 2011).
Safeguard planned to develop a minimum of twelve to fifteen new self-storage locations each year for several years. Market…
Construction Defects Not Covered When Contractor Terminated Prior to Completion
By Tred R. Eyerly on
Whether a contractor who failed to complete construction of a home had coverage for alleged construction defects was at issue in Clarendon Am. Ins. Co. v. Gen. Sec. Indem. Co. of Arizona, 2011 Cal. App. LEXIS 377 (Cal. Ct. App. March 2, 2011).
Hilmor Development contracted with the homeowners to serve as general contractor…
Damage from Faulty Indoor Sprinkler Covered as Ensuing Loss
By Tred R. Eyerly on
Among the range of issues addressed by the court was an ensuing loss provision in Five Star Hotels, LLC v. Ins. Co. of Greater New York, 2011 U.S. Dist. LEXIS 31313 (S.D. N.Y. March 24, 2011).
In December 2005, Five Star installed an upgraded automatic sprinkler system in each room of its…
Representative Reported Cases and Publications
By Tred R. Eyerly on
Cases:
• St. Paul Fire & Marine Ins. Co. v. Bodell Construction Co., No. SCCQ-22-0000658, 2023 Haw. LEXIS 194 (Haw. Nov. 14, 2023) – On a certified question from the federal district court, the Hawaii Supreme Court holds the insurer has no right to reimbursement of defense costs for uncovered claims
• Adams …
Lack of Coverage for Named Insured Does Not Negate Coverage for Additional Insured
By Tred R. Eyerly on
Although the commercial auto policy excluded coverage for the named insured, coverage was still possible for the additional insured. Great West Casualty Co. v. Terminal Trucking Col., LLC, 2011 U.S. Dist. LEXIS 30356 (D. S.C. March 22, 2011).
Wellman, Inc. sold bales of polyester fiber to Milliken & Company. Wellman contracted with…
Application of Exclusion and Ensuing Loss Provision Denied on Summary Judgment
By Tred R. Eyerly on
The court denied cross motions for summary judgment, deciding there were genuine issues of material fact regarding the applicability of both the exclusion for vandalism and the ensuing loss provision. See New London County Ins. Co. v. Zachem, 2011 Conn. Super. LEXIS 381 (Conn. Super. Ct. Feb. 18, 2011).
Vandals broke into the…
Subcontractor’s Negligence Causing Construction Defect is Covered
By Tred R. Eyerly on
Following recent precedent issued by the Indiana Supreme Court, the federal district court determined the CGL policy provided coverage for damage caused by the subcontractor. Gen. Casualty Ins. v. Compton Constr. Co., Inc., 2011 WL 939245 (N.D. Ind. March 16, 2011).
Zubak contracted with Compton to construct a new home. Compton contracted…
Occurrence of Property Damage Triggers Policy, Not Negligent Act
By Tred R. Eyerly on
Two insurers covering consecutive policy periods pointed the finger at one another regarding a loss caused by a leak. The court determined the policy in place when the leak occurred, not when the plumbing was installed, was triggered. See Alliance Mut. Ins. Co. v. Guilford Ins. Co., 2011 WL 883528 (N.C. App. March 15, 2011).…