Insurer Should Escape Building Defects Suit, Judge Says

Law360 (February 13, 2020, 6:45 PM EST) -- A magistrate judge on Thursday recommended a Texas federal court grant insurer Brit UW Ltd.’s bid to avoid covering a masonry contractor embroiled in a construction defect suit, finding the job in question was on a master planned community and therefore not covered.

U.S. Magistrate Judge Mark Lane found Brit had no duty to defend or indemnify FPC Masonry LP in a lawsuit brought by an Austin-area homeowner’s association, which sued a developer for alleged building defects in more than a dozen homes at Versante Homes.

Judge Lane found exclusions in the Brit policy for multifamily homes, including master planned communities,...

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