Appeals Court Affirms Summary Judgment in Favor of Insurer, Finds Coverage of Mold Remediation Is Debatable Issue

MADISON, Wisc. - An appeals court recently affirmed summary judgment in favor of the insurer in a mold bad faith action, finding that the policy language created a debatable issue regarding coverage for mold remediation, thereby precluding a bad faith claim. Mary A. Vvalther, plaintiff-appellant, and Associated Bank of Green Bay, involuntary plaintiff, v. American Family Insurance Co., defendant-respondent, and Four Seasons Roofing and Structural, L.L.C., et al., defendants, No. 03-1351-FT (Wisc. Ct. App., Dist. III).

Wisconsin's Third District Court of Appeals filed an opinion Nov. 11, 2003, in which it affirmed a judgment of the Brown County Circuit Court …