Court Orders Insurer for Stucco Distributor to Defend Installer

PORTLAND, Ore. - A liability insurance policy issued to the distributor of stucco siding also provides coverage for an installer defending a lawsuit by homeowners over alleged product defects, Oregon's Court of Appeals has ruled. Fred Shearer & Sons, Inc. v. Gemini Insurance Co., et al., No. A136818 (Ore. Ct. App.).

The Oregon Court of Appeals on Sept. 29 affirmed a limited judgment by the Multnomah County Circuit Court that Gemini Insurance Co. must pay 50 percent of defense costs incurred by the installer pursuant to its policy's "vendors endorsement."

Plaintiff Fred Shearer & Sons, Inc. was hired by a …