A prior post here discussed the Tenth Circuit's decision in Greystone Constr., Inc. v. National Union Fire & Marine Ins. Co., 661 F. 3d 1272 (10th Cir. 2011). The court found a duty to defend construction defect claims where damage caused by the faulty workmanship was unintentional. The Tenth Circuit remanded for a
Construction Defects
Group Builders’ Presentation
By Tred R. Eyerly on
Today, I spoke with the HSBA Litigation section about construction defect coverage in Hawaii and the Group Builders' cases. Thank you to all who attended and participated in the discussion. Here are my power point slides from the presentation.
Upcoming Presentation on Group Builders, Coverage for Construction Defects Update
By Tred R. Eyerly on
Robert Thomas, my blogging colleague at Damon Key, has posted about his presentation Monday, May 20, 2013, to the Hawaii State Bar Association's Appellate Section. Robert will be speaking on amicus briefing from 12 to 1 p.m. at the HSBA conference room.
Which reminds me, I will be making a…
Third Circuit Follows Pennsylvania Law – Damage Caused by Faulty Workmanship Does Not Arise From An Occurrence
By Tred R. Eyerly on
The Third Circuit followed Pennsylvania law in determining that damage caused by faulty workmanship did not arise from an occurrence. Zurich Am. Ins. Co. v. R. M. Shoemaker Co., 2013 U.S. App. LEXIS 6093 (3d Cir. March 27, 2013).
The County sued R. M. Shoemaker, alleging faulty construction of an addition to…
North Dakota Court Determines Inadvertent Faulty Workmanship is an “Occurrence”
By Tred R. Eyerly on
Joining what it called the majority of jurisdictions, the North Dakota Supreme Court found that damage caused by faulty workmanship can be an "occurrence." K&L Homes, Inc. v. Am. Family Mutual Ins. Co., 2013 N.D. LEXIS 61 (N.D. April 5, 2013).
The insured, K&L, was a general contractor who was sued after completing…
Hawaii Appellate Court Finds Duty to Defend Group Builders Case
By Tred R. Eyerly on
On May 19, 2010, the Hawaii Intermediate Court of Appeals determined construction defect claims did not constitute an occurrence under a CGL policy. Group Builders, Inc. v. Admiral Ins. Co., 123 Haw. 142, 231 P.3d 67 (Haw. Ct. App. 2010) ("Group Builders I") [post here]. The appeal in Group Builders I…
Federal Court Predicts Coverage In Utah for Damage Caused By Faulty Workmanship
By Tred R. Eyerly on
The federal district court predicted that the Utah Supreme Court would find that damage to property other than the insured's work product is unexpected and arises from an occurrence. Cincinnati Ins. Co. v. AMSCO Windows, 2013 U.S. Dist. LEXIS 15999 (D. Utah Feb. 5, 2013).
The insured, AMSCO Windows, installed windows in new…
Subcontractor Exception to Your Work Exclusion Paves the Way for Coverage
By Tred R. Eyerly on
In a brief opinion, the Second Circuit vacated the district court's denial of coverage for construction defects. Scottsdale Ins. Co. v. R.I. Pools Inc., 2013 U.S. App. LEXIS 5680 (2nd Cir. March 21, 2013).
The insured, R.I. Pools, employed outside companies to supply concrete and to shoot the concrete into the ground.
Limitation on Coverage for Payment of Damages Creates Ambiguity
By Tred R. Eyerly on
Unable to discern the meaning of a provision stating that payment of damages would be made "through a trial but not any appeal", the court found an ambiguity. Parker v. Am. Family Ins. Co., 2013 U.S. Dist. LEXIS 9085 (D. Ore. Jan. 23, 2013).
The homeowners sued the general contractor for defective…
Federal Court Predicts Coverage In Nevada for Damage Caused by Faulty Workmanship
By Tred R. Eyerly on
Methodically analyzing the damage claims, the federal district court largely denied the insurers' motions for summary judgment for coverage of construction defect claims. Big-D Constr. Corp. v. Take It for Granite Too, 2013 U.S.Dist. LEXIS 8377 (D. Nev. Jan. 22, 2013).
Big-D was the general contractor for a remodeling project of International…