Fla. Judge Says Drywall Claims Against KB Home, Supplier Not Covered

TAMPA, Fla. - A federal judge in Florida has applied Massachusetts law in determining that a pollution exclusion contained in several policies issued to a Chinese drywall supplier bars coverage for claims filed against the company. Granite State Insurance Co., et al. v. American Building Materials Inc., et al., No. 10-1542 (M.D. Fla.).

Judge Susan C. Bucklew of the U.S. District Court for the Middle District of Florida ruled Dec. 5 that the exclusion should be applied to relieve two insurers of their duties to defend or indemnify because any objectively reasonable insured could not have expected that damage caused …