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Mealey's Construction Defects Insurance

  • February 19, 2026

    Judge Finds Issues Of Fact Remain In Suit Over Faulty Plumbing Coverage

    SEATTLE — A federal judge in Washington denied a pet rescue company’s motion for summary judgment in a case it brought against its plumber’s insurers seeking garnishment of the plumber’s policies to cover damages caused by the plumber’s faulty work; the judge found that “[g]enuine issues of fact remain regarding the quantum harm as to covered non-excluded property.”

  • February 19, 2026

    Judge: Insurer Owes Duty To Defend Contractor Under ‘Other Insurance’ Provision

    BOSTON — A federal judge in Massachusetts found that a subcontractor’s insurer owed a duty to defend a contractor in an underlying suit regarding water damage due to alleged faulty workmanship, finding that the subcontractor’s insurer was the primary insurer under the other insurance provision in the contractor's insurance policy.

  • February 18, 2026

    Contractor: Judge Wrong To Find Current Owner Didn’t Waive Subrogation Rights

    BOISE, Idaho — A general contractor asked a federal judge in Idaho to reconsider an order denying the contractor’s motion for summary judgment in a case brought by the insurer of the current owner of an apartment building after a fire-suppression water line froze and burst, arguing that the judge’s interpretation of provisions of the general contractor agreement and application of the economic loss doctrine were in error.

  • February 18, 2026

    Insurers: Judge Should Not Reconsider Finding Subcontractor Not Covered

    LAS VEGAS — Two insurers filed briefs opposing a subcontractor’s motion asking a federal judge in Nevada to reconsider the judge’s grant of summary judgment in favor of one insurer and partial grant of summary judgment in favor of another insurer in the subcontractor’s action against them; both insurers argue that the judge did not err in issuing the order and that the subcontractor’s arguments could have been raised in its opposition to the insurers’ motions for summary judgment.

  • February 17, 2026

    7th Circuit Orders Limited Remand Of Judgment In Defective Bin Coverage Dispute

    CHICAGO — A Seventh Circuit U.S. Court of Appeals judge ordered a limited remand of a case brought by a grain equipment company’s insurer against the grain equipment company and a grain production firm regarding losses for the repair and replacement of leaky grain storage bins, ordering the lower court to “enter a judgment that fully and correctly implements its decision.”

  • February 17, 2026

    Insurer Files Status Report After Judge Vacates Dismissal Of Coverage Dispute

    LOS ANGELES — After a federal judge in California vacated the dismissal of an insurer’s lawsuit disputing coverage for an underlying negligence suit brought against its interior designer insured, the parties filed a joint status report informing the judge of a settlement in the underlying action and an agreement that the stay in the coverage action should be lifted.

  • February 13, 2026

    Judge Won’t Reconsider Order Preventing Subcontractor From Seeking Recovery

    OKLAHOMA CITY — A federal judge in Oklahoma denied a subcontractor’s motion for reconsideration of the judge’s order granting a motion to limit asserted damages filed by a sub-subcontractor and its insurer in a third-party complaint brought by the subcontractor in a construction defects case, finding no grounds warranting reconsideration or amendment.

  • February 13, 2026

    Insurer Argues Damages Calculation In Water Damage Coverage Dispute Was Wrong

    LOS ANGELES — A contractor’s commercial general liability insurer asked a federal judge in California to reconsider the judge’s grant of summary judgment to developers on their declaratory judgment and breach of contract claims against the insurer, arguing that the calculation of damages the judge found the insurer owed to the developers was wrong and that the judge failed to properly address arguments raised in the insurer’s opposition.

  • February 12, 2026

    Judge: Insurer Can File New Amended Third-Party Equitable Subrogation Complaint

    CHICAGO — A federal judge in Illinois granted an insurer leave to file a third amended third-party complaint against another insurer seeking equitable subrogation in a case brought by a developer seeking coverage in an underlying case brought against the developer by a townhome owners association alleging that construction defects resulted in water damage to a residential townhome project; the judge found that the proposed amendments had been properly brought.

  • February 12, 2026

    Magistrate: Exclusions Don’t Bar Coverage For Action Over Subcontractor’s Work

    TAMPA, Fla. — A federal magistrate judge in Florida recommended the court grant in part and deny in part cross-motions for summary judgment filed by an insurer and contractor in a case brought by the insurer seeking a declaration that it did not owe a duty to defend or indemnify its insured subcontractor in an underlying action regarding the subcontractor’s faulty work during a redecking project; the magistrate judge found that policy exclusions did not apply but that the settlement reached in the underlying action was not binding on the insurer.

  • February 06, 2026

    Judge Dismisses Insurer’s Suit Disputing Coverage For Negligence Claims

    LOS ANGELES — A federal judge in California dismissed an insurer’s lawsuit disputing coverage for an underlying negligence suit brought against its interior designer insured; the case had been stayed pending resolution of the underlying case, and the parties failed to issue a status report within the required time.

  • February 06, 2026

    Parties Reach Settlement In HVAC Unit Latch Defect Insurance Suit

    FORT MYERS, Fla. — A federal judge in Florida issued an order dismissing subrogee insurers’ case against the contractor that installed HVAC rooftop units (RTUs) at an Amazon sorting center, as well as others involved in the manufacturing and delivery of the RTUs after the parties reached a settlement; the complaint alleged that defects in the HVAC units caused damage to the building during Hurricane Ian.

  • February 05, 2026

    Judge Grants Dismissal Of Coverage Dispute Over Construction Defect Suit

    WASHINGTON, D.C. — A federal judge in the District of Columbia issued a minute order granting a commercial general liability insurer’s stipulation of voluntary dismissal of its declaratory lawsuit against condominium developers, contractors and homeowners that sought to determine whether it owes its policyholders a duty to defend or indemnify them from claims of construction defects brought by a group of condominium residents in an underlying state court suit.

  • January 27, 2026

    Contractor’s Insurer Sues For Declaratory Relief From Subcontractors’ Insurers

    LOS ANGELES — A general contractor’s insurer filed an action for declaratory relief and equitable indemnity and/or equitable contribution against subcontractors’ insurers in an underlying action brought by the owner of residential property alleging that construction defects caused damage to the property, arguing that none of the subcontractors’ insurers contributed to the general contractor’s defense as an additional insured under the subcontractors’ policies.

  • January 23, 2026

    Insurer Files New Amended Complaint Against Parties To Construction Dispute

    ORLANDO, Fla. — After its first amended complaint against an apartment building owner, general contractor and several subcontractors was dismissed for a lack of clarity, an insurer filed a second amended complaint, bringing specific claims against each, arguing that it owed none of the defendants a duty to defend or indemnify in an underlying action stemming from allegedly faulty workmanship.

  • January 23, 2026

    Judge Dismisses Case After Settlement Reached in Microtunneling Defense Dispute

    SEATTLE — A federal judge in Washington granted a subcontractor and its insurer’s stipulation and proposed order of dismissal after the parties had notified the court that they had reached a settlement in a case brought by the subcontractor alleging that the insurer failed to defend it against a counterclaim in an underlying suit arising out of the subcontractor’s microtunneling work for a water project in Seattle.

  • January 23, 2026

    Magistrate Says Insurer’s Subrogation Claim Against Contractor Should Proceed

    AUSTIN, Texas — A federal magistrate judge in Texas recommended that a district court deny a construction company’s motion for judgment on the pleadings in a case its insurer brought against it seeking to recover attorney fees it paid in defending subcontractors in an arbitration regarding allegedly negligent hotel designs and construction, finding that the insurer exclusively paid defense cost claims.

  • January 23, 2026

    Concrete Paver Company, Insurer Dispute Whether Insurer Owed Duty To Defend

    TAMPA, Fla. — A concrete paver company and a commercial general liability insurer filed replies to their cross-motions for summary judgment in an action brought by the concrete paver alleging that the insurer breached their contract by not defending it in an arbitration regarding defective pavers; the company argues that “the duty to defend applies so long as there is any potential for coverage,” while the insurer argues that there was no “occurrence” as required to trigger coverage.

  • January 23, 2026

    Pet Rescue Company Seeks Summary Judgment In Suit Over Faulty Plumbing Coverage

    SEATTLE — A pet rescue company filed a motion for summary judgment in federal court in Washington in a case it brought against its plumber’s insurers, seeking garnishment of the plumber’s policies to cover damages caused by the plumber’s faulty work.

  • January 22, 2026

    Contractor, Subcontractor Appeal Finding Insurer Owed No Duty To Indemnify

    PENSACOLA, Fla. — A contractor and subcontractor appealed to the 11th Circuit U.S. Court of Appeals a federal judge in Florida’s order finding that the subcontractor’s insurer owed no duty to indemnify the subcontractor or the contractor that hired it for damages owed after the U.S. Navy found defects in renovations the contractor, subcontractor and other subcontractors did on two buildings at the naval air station in Pensacola.

  • January 21, 2026

    Grain Production Firm Appeals Judgment Order In Defective Bin Coverage Dispute

    INDIANAPOLIS — On Jan. 20, a grain production firm appealed to the Seventh Circuit U.S. Court of Appeals a federal judge in Indiana’s order vacating trial and entering final judgment in a case brought by a grain equipment company’s insurer against the grain equipment company and grain production firm regarding losses for the repair and replacement of leaky grain storage bins.

  • January 20, 2026

    Insurer: Judge Should Dismiss Subcontractor’s Remaining Claims

    LAS VEGAS — After a federal judge in Nevada granted partial summary judgment in favor of an insurer in a subcontractor’s action against it because the construction defect-related claims were not covered because the subcontractor was not an additional insured under the policy, the insurer filed a supplemental brief arguing that the remaining claims fail for the same reason.

  • January 20, 2026

    Homebuilder Argues Judge Wrong To Find No Coverage For Arbitration Award

    NEW ORLEANS — In its opening brief in the Fifth Circuit U.S. Court of Appeals, a homebuilder argues that a federal judge in Texas was wrong to grant summary judgment in favor of the builder’s commercial liability insurer in its suit seeking indemnification for an arbitration award for damages caused by construction defects in a home it built; it argues that the lower court abused its discretion in finding that no coverage existed under the policy.

  • January 16, 2026

    Homeowners: 9th Circuit Broke Precedent Finding No Coverage For Faulty Work

    SEATTLE — A group of homeowners filed a petition for rehearing and rehearing en banc on Jan. 15 in the Ninth Circuit U.S. Court of Appeals, arguing that a Ninth Circuit panel broke with precedent in finding that coverage for a development company from claims of faulty work brought by the homeowners is barred by a policy exclusion related to the construction of tract housing.

  • January 15, 2026

    Subcontractor: Court Wrong To Prevent Recovery From Sub-subcontractor, Insurer

    OKLAHOMA CITY — In a reply brief filed Jan. 14, a subcontractor argued that a federal judge in Oklahoma should reconsider granting a motion to limit asserted damages filed by a sub-subcontractor and its insurer in a third-party complaint brought by the subcontractor in a construction defects case; the subcontractor argued that it should not be judicially estopped from seeking recovery from the sub-subcontractor or its insurer.