Builders' Risk Insurers Sue Condo Owner, Argue No Coverage for Drywall Damage

WEST PALM BEACH, Fla. - Several insurers have filed declaratory judgment actions against the owner of a Florida condominium complex, claiming they have no obligation to cover several claims arising from Chinese drywall that was used in construction of the 328-unit project. Allianz Global Risks US Insurance Co., et al. v. Compson Associates of Boynton II, et al., No. 11-80866; Essex Insurance Co. v. Compson Associates of Boynton II, et al., No. 11-80874 (S.D. Fla.).

In two separate complaints filed July 29 in U.S. District Court for the Southern District of Florida, the insurers contend that the alleged damage occurred …