Judge Tosses Drywall Defense Coverage Suit

Law360, New York (June 22, 2011, 6:53 PM EDT) -- A Georgia federal judge on Wednesday dismissed a lawsuit brought by Rightway Drywall Inc.'s insurers to avoid covering Rightway's defense costs in a putative class action that The Mitchell Co. Inc. leveled against the company over defective Chinese drywall.

Judge Hugh Lawson of the U.S. District Court for the Middle District of Georgia agreed with Rightway that the suit should be dismissed because Mitchell — an indispensable party — had exited the litigation in February, when the judge ruled his court could not exercise personal jurisdiction...
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