Insurer Takes KB Home Coverage Row To Federal Court

Law360, New York (August 4, 2011, 4:23 PM EDT) -- State National Insurance Co. Inc. on Tuesday removed to Colorado federal court KB Home Colorado Inc.'s suit seeking coverage for what it claims was shoddy legal representation provided by unnamed attorneys holding two State National professional liability policies.

The residential construction company lodged the suit in Colorado state court last month, seeking $500,000 from State National after a settlement deal between the insurer, its attorneys' clients and KB Home resolved some claims but left others for a court to decide.

The claims all stem from three...
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