Hawaii's Fix For Construction Defect Coverage Falls Short

Law360, New York (August 13, 2013, 6:48 PM EDT) -- In a drastic step, the Hawaii Legislature passed a law in 2011 to override an appeals court ruling that jeopardized insurance coverage for construction defects. But far from achieving its goal of providing certainty to builders, the statute has further muddled the litigation landscape, experts say.

Hawaii adopted Act 83 to combat the 2010 ruling in Group Builders Inc. v. Admiral Insurance Co., which held that commercial general liability policies don't cover injuries or property damage from faulty construction work because these harms don't arise from...
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