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Insured’s Defective Work Is Not An ‘Occurrence,’ Federal Judge Concludes

Mealey's (October 7, 2016, 9:58 AM EDT) -- PHILADELPHIA — Under Pennsylvania law, allegations of an insured’s faulty workmanship do not constitute an “occurrence,” a Pennsylvania federal judge ruled Oct. 5, finding that a comprehensive business liability insurer has no duty to defend or indemnify an underlying negligent construction lawsuit (State Farm Fire and Casualty Co. v. Kim’s Asia Construction, No. 15-6619, E.D. Pa.; 2016 U.S. Dist. LEXIS 138915).

(Memorandum available.  Document #69-161104-001Z.)

In December 2011, Kim’s Asia Construction contracted with Powerline Imports Inc. to remove and dispose of its existing roof and install...
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