Quanta Sues to Avoid Covering Developer

__TACOMA, Wash. - Quanta Specialty Lines Insurance Co. has filed a declaratory judgment action in federal court, saying that exclusions in policies issued to Pacific Lifestyle Homes Inc. bar coverage for construction defect claims against the developer. Quanta Specialty Lines Insurance Co. v. Pacific Lifestyle Homes Inc., et al., No. 3:10-cv-05573 (W.D. Wash.).

Quanta, which is defending the bankrupt developer under a reservation of rights, filed the declaratory judgment action on Aug. 13 in the U.S. District Court for the Western District of Washington.

Pacific Lifestyle is a defendant in a lawsuit by residents of a multi-family residential development in …