Judge Prohibits Discovery into Insurer's Past Interpretation of Pollution Exclusion

NORFOLK, Va. - A builder seeking coverage for Chinese drywall-related damage and repairs has been denied discovery into its insurer's prior interpretation of a pollution exclusion in the builder's policy. Builders Mutual Insurance Co. v. Dragas Management Corp., et al., No. 09-185 (E.D. Va.).

Judge Rebecca Beach Smith of the U.S. District Court for the Eastern District of Virginia held March 2 that the pollution exclusion in a policy written by Builders Mutual Insurance Co. was not ambiguous and that discovery about past interpretations of its terms is not proper.

Judge Smith's order affirms a magistrate judge's decision earlier this …