Developer Seeks Defects Defense From AIG Unit

Law360, New York (October 26, 2010, 7:46 PM EDT) -- Engelberth Construction Inc. and its two insurers have filed suit seeking an American International Group Inc. unit to chip in on defense costs arising from two disputes accusing Engelberth of doing shoddy construction work.

The developer and insurers National Fire Insurance Co. of Hartford and Continental Casualty Co. filed a declaratory judgment action in the U.S. District Court for the District of Vermont on Monday that claims National Union Fire Insurance Co. of Pittsburgh, Pa., should help defend and indemnify Engelberth.

The suit alleges that AIG...
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