5th Cir. Reinstates Coverage Case for Consideration of 'Exclusion Repeal'

NEW ORLEANS - The 5th Circuit U.S. Court of Appeals reinstated a Texas mold coverage case on Feb. 28 after concluding that summary judgment is inappropriate given the unresolved issue of whether an 'exclusion repeal' provision in a homeowner's policy allows coverage for mold under some circumstances. Betzel v. State Farm Lloyds, No. 05-10903 (5th Cir.).

The appellate panel rejected State Farm Lloyds' contention that the issue of mold coverage under the standard Texas homeowners' policy (HO-B) was settled by the Texas Supreme Court in Fiess v. State Farm Lloyds (202 S.W.3d 744 [Tex. 2006]; See HarrisMartin's Columns: Mold, Sept …