Insurer Sues Drywall Cos. Over Lennar Litigation Costs

Law360, New York (March 22, 2010, 2:37 PM EDT) -- Mid-Continent Casualty Co. has sued three subcontractors of Lennar Corp. in a bid to limit its liability for costs arising from a lawsuit the homebuilder filed alleging the companies installed faulty Chinese drywall in its Florida real estate developments.

Mid-Continent filed separate complaints on Friday against JDM Builders Inc., Active Drywall South Inc. and Design Drywall of South Florida LLC in the U.S. District Court for the Southern District of Florida, seeking a declaration regarding its duty to indemnify the drywall installers.

Under their insurance contracts,...
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