Insurer Has Duty To Defend Water Damage Claims, Judge Finds

Mealey's (June 14, 2016, 3:06 PM EDT) -- CHICAGO — An insurer has a duty to defend claims for mold growth and water damage due to an insured’s defective construction, an Illinois federal judge ruled June 8, also finding that “contractual liability” and “damage to property” exclusions do not apply (Frankenmuth Mutual Insurance Co. v. Hodsco Construction, Inc., et al., No. 15-11029, N.D. Ill.; 2016 U.S. Dist. LEXIS 76204).

(Opinion and order available. Document #69-160701-009Z.)

In 2002, Kimball Hill Inc. began development of a 154-unit town home complex called Tower Crossing, which was located...
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