Appeals Court Revives Homebuilder's Drywall Coverage Suit

Law360, New York (June 7, 2013, 8:10 PM EDT) -- A Louisiana state appeals court Friday revived homebuilder Tallow Creek LLC’s suit against Western World Insurance Co. for coverage in Chinese drywall litigation, finding that the trial court may have violated a federal stay on the litigation by issuing a judgment in the case.

The dispute stems from homeowners' lawsuit filed in 2009 against Tallow Creek and several other companies associated with the construction of the home, in which faulty Chinese drywall — the subject of a massive multidistrict litigation settled for $1 billion in February...
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