Insurers Off The Hook For Defense In $4M Construction Fight

Law360 (November 19, 2020, 10:07 PM EST) -- A Montana federal judge held Thursday that a pair of insurers don't have coverage or defense responsibility stemming from a policyholder's $4 million dispute with a construction contractor.

U.S. District Judge Donald W. Molloy said the Ohio Casualty Insurance Co. and West American Insurance Co. can recoup the defense costs they incurred in a lawsuit between their policyholder, MVP Holdings LLC, and construction contractor Bjorn Johnson Construction LLC, because the underlying action is outside the scope of the policies.

MVP held a commercial liability policy with West America and an umbrella policy with Ohio Casualty. The policies cover damages related to...

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