Court Reverses Summary Judgment and Allows Ohio Contractor to Seek Coverage

WARREN, Ohio - An Ohio appeals court has reversed summary judgment in favor of the insurer for a building project after concluding that there are circumstances under which the insurer would be obligated to cover consequential water and mold damage to a hotel. JTO Inc. v. State Automobile Mutual Insurance Co., No. 2010-L-062 (Ohio Ct. App., 11th Dist.).

The ruling by Ohio's 11th District Court of Appeals reinstated a coverage suit brought by JTO Inc. against State Automobile Mutual Insurance co., seeking coverage for damage from alleged construction defects at a Marriott Residence Inn.

The hotel's owner sued JTO, the …