While the appellate court affirmed dismissal of a majority of the claims submitted by the Los Angeles Lakers for closure of the Staples Center and other properties due to COVID-19, a portion of their claims survived. L.A. Lakers v. Fed Ins. Co., 2022 U.S. Dist. LEXIS 31503 (C.D. Calif. March 17, 2022).
Water Damage Sub-Limit Includes Tear-Out Costs
By Tred R. Eyerly on
The Florida Court of Appeals affirmed the trial court's ruling that the homeowner policy's sub-limit for water damage included tear-out costs. Sec. First Ins. Co. v. Vazquez, 2022 Fla. App. LEXIS 1205 (Fla. Ct. App. Feb. 18, 2022).
A discharge of water from the cast iron pipes caused damage to…
Insured Survives Motion for Summary Judgment in Collapse Case
By Tred R. Eyerly on
The insurer's motion to exclude expert testimony and for summary judgment in a cases involving collapse was denied. Firehouse Church Ministries v. Church Mut. Ins. Co., 2022 U.S. Dist. LEXIS 53959 (D. Miss. March 25, 2022).
A roof truss, a framework supporting the roof, collapsed in the church. The cause…
Subsidence Exclusion Bars Coverage for Damage Caused by Landslide
By Tred R. Eyerly on
The Ninth Circuit affirmed the district court's order granting summary judgment to the insurer who denied coverage based upon the policy's subsidence exclusion. Atain Spec. Ins. Co. v. JKT Associates, 2022 U.S. App. LEXIS 6351 (9th Cir. March 11, 2022).
JKT was hired by Lora Eichner Blanusa in 2011 to…
Court Finds Coverage for Computer Fraud
By Tred R. Eyerly on
The court found that a fraudster's sending of an email was a "computer use" under the Computer Fraud Insuring Agreement (CFIA) of the policy. City of Unalaska v. Nat'l Union Fire Ins. Co., 2022 U.S. Dist. LEXIS 51387 (D. Alaska March 18, 2022).
The city of Unalaska received an email…
LA Lakers Partially Survive Motion to Dismiss of COVID-19 Claims
By Tred R. Eyerly on
While the appellate court affirmed dismissal of a majority of the claims submitted by the Los Angeles Lakers for closure of the Staples Center due to COVID-19, a portion off their claim survived. L.A. Lakers v. Fed. Ins. Co., 2022 U.S. Dist. LEXIS 51563 (C.D. Calif. March 17, 2022).
Government…
No Duty to Defend Construction Defect Claims
By Tred R. Eyerly on
The court determined the insurer had no duty to defend construction defect claims asserted against the insured. Pa. Nat'l Mut. Cas. Ins. Co. v. River City Roofing, 2022 U.S. Dist. LEXIS 38226 (E.D. Va. March 3, 2022).
Branch Builds, Inc, was the general contractor for Shock Valley View Genesis, LLC…
Construction Defect Claims Not Covered
By Tred R. Eyerly on
The court found that the insured's negligent acts causing damage to only the structure of the home it built were not covered under the CGL policy. Westfield Ins. Co. v. Zaremba Builders II LLC, 2022 U.S. Dist. LEXIS 36189 (N.D. Ill. March 2, 2022).
Zaremba contracted to build a house…
Texas Supreme Court Holds Stipulated Extrinsic Evidence May Be Considered in Determining Duty to Defend
By Tred R. Eyerly on
Responding to certified questions from the Fifth Circuit, the Texas Supreme Court held that in limited circumstances, extrinsic evidence may be considered in determining the duty to defend. Monroe Guar. Ins. Co. v. Bitco Gen. Ins. Corp., 2022 Tex. LEXIS 148 (Tex. Feb. 11, 2022).
The two insurers each provided…
Insurer Must Defend Faulty Workmanship Claims
By Tred R. Eyerly on
The court determined that the insurer improperly denied a defense for construction defect claims made against the insured. Amerisure Mut. Ins. Co. v. McMillin Tex. Homes, 2022 U.S. Dist. LEIS 40363 (W.D. Texas March 8, 2022).
McMillin was a developer, general contractor and home seller. It constructed multiple homes in…