A commentary on insurance coverage issues in Hawaii and beyond
The insured general contractor was not covered for alleged faulty workmanship in constructing a home. Allstate Ins. Co. v. Luu, 2017 U.S. Dist. LEXIS 190983 (N.D. Ga. Nov. 17, 2017).
Luu, the homeowner, contracted with Diamond for the purchase of a lot and building of a new home. After the…
The insurer unsuccessfully moved for summary judgment on the CGL policy's business risk exclusions. Scottsdale Ins. Co. v. TL Spreader, LLC, (W.D. La. Oct. 20, 2017).
Helena Chemical Company contracted with its customer Wild Farms to sell and apply certain herbicides and pesticides to Wild Farms' 123 acre rice filed.
The California Court of Appeal affirmed the trial court's finding of coverage for faulty workmanship allegations and bad faith by the insurer. Pulte Home Corp. v. Am Safety Indem. Co., 2017 Cal. App. LEXIS 748 (Cal. Ct. App. Aug. 30, 2017).
Pulte Home Corporation was the general contractor and developer…
The South Dakota Supreme Court found that the general contractor was entitled to a defense against the homeowners' claims of defective workmanship. Lowery Constr. & Concrete, LLC v. Owners Ins. Co., 2017 S.D. LEXIS 107 (S.D. Aug. 30, 2017).
After the homeowners moved into the home built by the insured…
The South Dakota Supreme Court found coverage in favor of the general contractor who was sued for alleged faulty workmanship. Owners Ins. Co. v. Tibke Constr., Inc., 2017 S.D. LEXIS 106 (S.D. Aug. 23, 2017).
The homeowners hired Tibke Construction Inc. as general contractor to build a new house. Tibke…
The court found that the insured was entitled to a defense against claims for its alleged willful removal of coal from third parties' land. Liberty Mut. Fire Ins. Co. v. Bizzack Constr, 2017 U.S. Dist. LEXIS 70285 (W.D. Va. April 27, 2017).
The Virginia Department of Transportation (VDOT) contracted with Bizzack to perform work…
The Massachusetts Appeals Court determined that scallops damaged by a cause never determined by the underlying court was sufficient to establish an occurrence under the insured's CGL policy. The Hanover Ins. Group, Inc. v. Raw Seafoods, Inc., 2017 Mass App. LEXIS 49 (Mass. Ct. App. April 26, 2017).
The insured, Raw Seafoods, Inc. (RSI) had…
The insured's involvement in damaging a customer's corn syrup while preparing it to be transported was an occurrence and covered under the CGL policy. Travelers Prop. Cas. Co. of Am. v. United States Container Co., 2017 U.S. App. LEXIS 6602 (3rd Cir. April 18, 2017).
USA Container supplied industrial containers…
Assignment of insurance proceeds as part of a settlement against the subcontractor for faulty workmanship was not covered under the CGL policy in accordance with Illinois law. Allied Prop. & Cas. Ins Co v. Metro North Condominium Assoc., 2017 U.S. App. LEXIS 4107 (7th Cir. March 8, 2017).
Metro North Condominium Association hired a…
The Ninth Circuit, applying California law, affirmed the district court's decision finding there was no coverage for construction defects. Archer W. Contractors v. Nat'l Union Fire Ins. Co., 2017 U.S. App. LEXIS 3796 (9th Cir. March 2, 2017).
Archer Western Contractors (AWC) was the general contractor for the San Diego County Water Authority's emergency water…
