Insurer Needn't Cover $40M Construction Delay: 6th Circ.

Law360 (August 12, 2019, 7:58 PM EDT) -- The Sixth Circuit on Monday affirmed an Ohio federal judge’s ruling that Maxum Indemnity Co. has no duty to defend or indemnify a tunnel-boring machine maker in a $40 million arbitration action over construction delays caused by an equipment breakdown.

A three-judge panel said U.S. District Judge Solomon Oliver made the right call when he ruled in March 2018 that the insurer’s general liability policies don’t cover the claims in the underlying action filed by JCM Northlink LLC in the International Court of Arbitration against tunnel-boring machine manufacturer The Robbins Co. That action concerns delays on a construction project allegedly caused by...

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