Chinese Drywall

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    Most property policies provide coverage for property damage only when there is "direct physical loss" to covered property. Early indications are that the coronavirus remains on surfaces. The duration can last from a few hours to three weeks, depending on the type of surface material. If an employee is infected and the store…

   The court considered whether damages to the plaintiffs' home caused by Chinese drywall were covered under their homeowners policy. Dupuy v. USAA Cas. Ins. Co., 2012 U.S. Dist. LEXIS 31890 (M.D. La. March 9, 2012).

   The plaintiffs' complaint alleged that the Chinese drywall "emits odorous gases that cause damage to air-conditioner and…

   Exclusions barred the homeowners from recovering for losses caused by Chinese drywall in their home. Ross v. C. Adams Const. & Design, L.L.C., 2011 La. App. LEXIS 769 (La. Ct. App., released for publication Oct. 5, 2011).

   Two years after purchasing their home, the Rosses began experiencing chronic malfunctions in the heating…

   The pollution exclusion barred coverage for alleged property damage and bodily injury in Evanston Ins. Co. v. Harbor Walk Dev., LLC, No. 2:10cv312 (E.D. Va. Sept. 9, 2011) [Evanston Decision here].

   Homeowners sued the insured, Harbor Walk, in three lawsuits, alleging the Chinese drywall installed in their homes emitted sulfides…

   Coverage for damage caused by the installation of Chinese drywall was the issue in Dragas Mgt. Corp. v. Hanover Ins. Co., 2011 U.S. Dist. LEXIS 80178 (E.D. Va. July 21, 2011).

   Dragas built housing developments. Dragas hired Porter-Blaine Corp. to supply and install drywall for the homes in two of its developments.

   The insurer sought to avoid coverage for claims against its insured, a supplier of Chinese drywall. The court ruled, however that the exclusions relied upon by the insurer did not bar coverage. See Auto-Owners Ins. Co. v. Am. Building Materials, Inc., 2011 U.S. Dist. LEXIS 52837 (M.D. Fla. May 17, 2011).

   The…

   In this multi-district litigation, the court considered the insurers' motions to dismiss plaintiffs' suits for alleged property damage caused by Chinese drywall.  In Re: Chinese Manufacture Drywall Products Liability Litigation, 2010 U.S. Dist. LEXIS 133497 (E.D. La. Dec. 16, 2010).  After determining there was coverage, the court considered several exclusions and the ensuing loss provisions…

   When property damage manifests before the policy period, but continues over time and overlaps the  CGL's policy period, does the policy provide coverage?  Applying Florida law, the U.S. District Court determined that under the manifestation trigger, there was no coverage.  See Amerisure Ins. Co. v. Albanese Popkin The Oaks Development Group, L.P., 2010 U.S. Dist.