FCCI Units Seek To Dodge Coverage In Sinkhole Action

Law360, New York (February 14, 2011, 6:32 PM EST) -- Two FCCI Insurance Group units have hit a construction company with a lawsuit seeking to avoid coverage for underlying breach of contract litigation over sinkhole-related damages to a hotel.

In a complaint lodged Thursday in the U.S. District Court for the Western District of Kentucky, FCCI Insurance Co. and National Trust Insurance Co. contend they have no duty to defend or indemnify Louisville-based Fidelity International Contractors Inc. because the policies at issue don't cover damages arising from the breach of a contract.

The allegations in the...
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