Insurer Seeks Dismissal Of Condo's $55M Building Defect Suit

By Kira Lerner (August 7, 2014, 5:46 PM EDT) -- Crum & Forster Specialty Insurance Co. urged a South Carolina federal judge on Thursday to dismiss or stay a general contractor's suit seeking coverage for a $55 million verdict in underlying litigation over a defect-ridden apartment conversion project in South Carolina, arguing its similar suit in Texas state court should move forward instead. 

The insurer argued that East Bridge Lofts Property Owners Association Inc.'s suit attempting to collect on the construction defect judgment against Creekstone Builders Inc., the general contractor on a project to convert 200 apartment units in 13 buildings into condominiums, should be tossed while its declaratory judgment action currently...

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