5th Circ. Affirms $1M Award In Contractor's Coverage Dispute

By Ryan Boysen (December 13, 2017, 7:03 PM EST) -- Oklahoma Surety Co. is still on the hook for roughly $1 million in damages for denying coverage to a general contractor over a shoddy workmanship suit after the Fifth Circuit on Tuesday affirmed a lower court's ruling that found the insurer had breached its duty to defend.

A three-judge panel unanimously affirmed a district court's finding that Oklahoma Surety had a duty to defend Lyda Swinerton Builders Inc., as well as a $1 million damages award to LSB. The panel remanded the question of whether Oklahoma Surety had violated a Texas unfair insurance practices statute, which could open it up to...

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