N.C. Homeowners Fail to Convince Court to Apply Manifestation Trigger

RALEIGH, N .C. - North Carolina's Court of Appeals has affirmed summary judgment for an insurer sued for breach of contract and bad faith, declining to apply a manifestation trigger to claims arising from homeowners' long-term mold problems. Nelson v. Hartford Underwriters Insurance Co., et al., No. 02 CVS 04663 (N.C. Ct. App.).

The court concluded that conditions that led to mold in Donald and Dinah Nelson's home pre-dated their policy with Hartford Underwriters Insurance Co., and affirmed summary judgment on the contract claims on that basis.

The court also concluded that none of the actions taken by Hartford …