Court Reinstates Contractors' Coverage Claims Against Lloyd's

UNION CITY, N.J. - A New Jersey trial court has reversed summary judgment for an insurer that denied coverage to a building contractor, concluding that some underlying construction defect claims merit a defense and possible indemnification. Port Imperial Condominium Association, Inc. v. K. Hovnanian Port Imperial Urban Renewal, Inc., et al., No. HUD-L-2054-08 (N.J. Super. Ct., Hudson Cty., Law Div.).

Hudson County Superior Court Judge Barry P. Sarkisian granted the motion for reconsideration on Sept. 2, concluding that coverage may be warranted for consequential property damage arising from allegedly faulty workmanship despite exclusions relied on by Certain Underwriters at Lloyd's, …