On Monday, February 11, 2013, the visiting panel of Ninth Circuit judges in town for oral arguments addressed members of the Hawaii State Bar Association. The event, entitled "Appellate Practice Tips," was hosted by the Federal Bar Association. The panel members were the Honorable Susan P. Graber, the Honorable Jay S. Bybee and the
Update Coverage for Construction Defect Claims in Colorado
Whether construction defect claims against an insured contractor or subcontractor are covered is undergoing an intense debate in Colorado that is reminiscent of the current coverage battle in Hawaii.
Although I missed the case until recently, the decision in Colo. Pool Sys. v. Scottsdale Ins Co., 2012 Colo. App. LEXIS 1732 (Colo. Ct.
Insurer’s Failure to Settle Does Not Justify Multiple Damages under Unfair Claims Settlement Law
Although the insurer failed to understand the pertinent law that mandated coverage under the policy, its actions did not rise to an unfair claim settlement practice justifying multiple damages. Gelwan v. Vermont Mut. Ins. Co., 2013 U.S. app. LEXIS 210 (2nd Cir. Jan. 4, 2013).
In 1999, a contractor re-roofed the insureds'…
Kentucky Court Determines Anti-Assignment Provision Violates Public Policy
In answering a certified question from the federal district court, the Kentucky Court found that a policy's anti-assignment provision was unenforceable. In Re Wehr Constructors, Inc. v. Assurance Co. of Am., 2012 Ky. LEXIS 183 (Ky. Released for Publication Dec. 20, 2012).
The Hospital hired Wehr Constructors to install concrete subsurfaces and…
Insurer’s Summary Judgment Arguments on Proper Trigger and Ensuing Loss Fail
The insurer promoted a variety of arguments for summary judgment to deny coverage for water damage under a homeowner's policy. Strauss v. Chubb Indem. Ins. Co., 2013 U.S. Dist. LEXIS 224 (E.D. Wis. Jan. 2, 2013).
Construction of the insureds' home was completed in 1994. In October 2010, they discovered water damage…
Hawaii Federal Court Denies Motion to Certify Question on Coverage for Construction Defects
Further demonstrating a difference of opinion between federal district court and state court trial judges, Judge Mollway denied a motion to certify a proposed question to the Hawaii Supreme Court regarding coverage for construction defects. Illinois Nat’l Ins. Co. v. Nordic PLC Constr., Inc., Civil No. 11-00515 SOM/KSC (Order Denying Defendant’s Motion to…
Insurer Must Produce Non-Privileged Documents in Bad Faith Litigation
The insured moved for an order compelling the production of documents from the insurer after 180 pages were produced, nearly all of which were blank after redactions. See Panattoni Construction, Inc. v. Travelers Prop. Cas. Co. of Am., Case No. C11-1195RSM, Order on Motion to Compel (W.D. Wash., Dec. 14, 2012) (see order here…
Exclusions and Exceptions to Exclusions Explored
The court considered the shifting burdens of proof regarding the liability policy's exclusions and exceptions to the exclusions. Ment Bros. Iron Works Co. Inc. v. Interstate Fire Cas. Co., 2012 U.S. App. LEXIS 25310 (2nd Cir. Dec. 11, 2102).
The building owner and developer hired a general contractor, who hired the insured…
Concurrent Causation Doctrine Does Not Salvage Coverage
An exclusion for firearms in a CGL policy barred coverage despite the insured's argument that the concurrent causation doctrine should apply. Capitol Specialty Ins. Corp. v. JBC Entertainment Holdings, Inc., 2012 Wash. App. LEXIS 2835 (Wash. Ct. App. Dec. 10, 2012).
The coverage dispute arose when an unknown person fired a gun…
Law Review Article Addresses Hawaii Insurance Law Developments Under Moon Court
The current issue of the University of Hawaii Law Review includes an article I co-authored entitled, “Key Issues in Hawaii Insurance Law Answered by the Moon Court.” My co-authors include Hazel Beh, Keith Hiraoka, Peter Olson, Michael Tanoue, and Alan Van Etten. The Moon Article is available at 33 U. Haw. L. Rev. 779…