Homeowners Appeal U.S. District Court's Ruling that Mold Is Not Covered as an Ensuing Loss

NEW ORLEANS - On Oct. 31, the plaintiffs in a mold bad faith/coverage dispute filed an Appellants' Brief arguing that a U.S. District Court erred earlier this year when it ruled that mold damage is excluded from coverage by the Texas HO-B homeowners' insurance policy and, in so doing, granted the insurer defendant's motion for summary judgment. Richard and Stephanie Fiess v. State Farm Lloyds, No. H-02-CV-1912 (5th Cir.).

The homeowners also argued in their brief, which was filed in the U.S. Court of Appeals for the Fifth Circuit, that the District Court erred when it found that mold damage …