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Contractor claimed its insurance covered liability stemming from a class action brought by homeowners angry over many alleged construction defects. The insurer balked. In the ensuing lawsuit, the trial court bifrucated the proceedings between damages to the structures, and damages to homeowner property. The trial court ruled that the insurer had a duty to defend the class action based on the contractor's comprehensive general liability policy. The appellate court disagreed, holding that comprehensive general liability insurance policies only protect against personal injury or damages to personal property that result from defective workmanship. CGL policies, says the court, do not cover repair of the defective workmanship itself.
Moral: There is no moral to this story, it's all about money. Auto Owners Ins. Co. v. Tripp Construction, Inc., 737 So.2d 600 (Fla. 3DCA 1999). |
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