Mid-Continent Faces Suit Over Construction Defense

Law360, New York (March 9, 2011, 8:15 PM EST) -- A South Dakota real estate developer filed a lawsuit Tuesday seeking coverage from insurer Mid-Continent Casualty Co. for three suits claiming breach of contract and negligent misrepresentation in connection with the allegedly faulty construction of several homes.

Mid-Continent breached the terms of its insurance policy and acted in bad faith in failing to provide a reasonable explanation for denying coverage for the underlying homeowner suits, plaintiff Signature Development LLC alleges in a complaint filed Tuesday in the U.S. District Court for the District of South Dakota....
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