Failure to Disclose Chinese Drywall Excluded Under Homeowners’ Policies, Fla. Federal Judge Rules

TAMPA, Fla. — Two insurers have no duty to defend or indemnify a couple who was sued for selling a house that contained Chinese Drywall because the claims fall within the “intentional acts” exclusions of their homeowners’ and excess liability policies, a Florida federal judge has ruled.

On Nov. 4, Judge James S. Moody Jr. of the U.S. District Court for the Middle District of Florida held that the negligence allegation in the underlying complaint is based entirely on the couple’s failure to disclose the Chinese drywall, the claim falls under the intentional act exclusions.

The Jassys entered into a …