Insurers Off Hook For Lost Payment At Margaritaville

Law360 (August 12, 2019, 10:10 PM EDT) -- Two insurance companies are not on the hook for payments in a dispute between two construction companies over a voided contract at the Margaritaville Spa and Hotel in Mississippi, a Fifth Circuit panel ruled Monday.

The policy issued by Greenwich Insurance Co. and Indian Harbor Insurance Co. to subcontractor Capsco Industries covered property damage. But that coverage does not apply to money Ground Control LLC was owed for past work after Capsco fired it from the construction site of the casino in Biloxi, the court ruled in a seven-page opinion penned by Circuit Court Judge Leslie H. Southwick.

“Payment for work...

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