Texas Supreme Court limits insurance exclusions

Legal World

The Texas Supreme Court issued a key ruling Friday that should boost consumer confidence in the liability insurance coverage that builders and general contractors carry.

Writing for the court, Justice Phil Johnson denied an insurance company's attempt to avoid paying a claim based on language found in most commercial general liability insurance policies. The court's decision was one of the most anticipated insurance cases in the country because Texas decisions often influence other courts across the nation, said Randy Maniloff, an insurance law expert at the White and Williams law firm in Philadelphia.

If the Texas Supreme Court had ruled in favor of the insurance company, coverage of construction mistakes in Texas would have virtually disappeared.

"Many contractors don't have the wherewithal to make good on their construction defects, so a lot of times insurance is the make-or-break issue for purposes of somebody getting compensation," Maniloff said. "This decision helps homeowners keep that insurance in place."

Most general liability policies have a clause that allows the insurance company to exclude liability claims when a contractor assumes liability "in a contract or agreement." Insurance companies often require contractors to buy additional coverage when they take on greater risk.

Related listings

  • Tenino man pleads guilty to child pornography

    Tenino man pleads guilty to child pornography

    Legal World 12/30/2013

    The U.S. attorney's office says a Tenino man pleaded guilty Friday in federal court in Tacoma to possession of child pornography. As part of a plea agreement, prosecutors are recommending a four-year prison term when 47-year-old James Donald Mobley i...

  • Indian gay activists protest top court's ruling

    Indian gay activists protest top court's ruling

    Legal World 12/16/2013

    Hundreds of gay rights activists gathered in India's capital and other cities across the country on Sunday to protest a decision by India's top court to uphold a law that criminalizes gay sex. India's Supreme Court last week reversed a landmark 2009 ...

  • Supreme Court Refuses to Block Texas Abortion Law

    Supreme Court Refuses to Block Texas Abortion Law

    Legal World 11/22/2013

    A sharply divided Supreme Court on Tuesday allowed Texas to continue enforcing abortion restrictions that opponents say have led more than a third of the state's clinics to stop providing abortions. The justices voted 5-4 to leave in effect a provisi...

New Rochelle, New York Personal Injury Lawyers

If you or a loved one has been injured in an accident, contact Kommer, Bave & Ollman, LLP, in New Rochelle, New York, immediately. We can answer all your questions and work with you to determine if you have the grounds for a personal injury lawsuit. The attorneys at our firm are determined to resolve even the most difficult of cases. We will work closely with you to determine the best course of action to get your claim or case resolved in the most efficient way possible. We will fight for your right to compensation! No one should have to suffer a financial burden from the result of another person’s carelessness. The attorneys at Kommer, Bave & Ollman, LLP will aggressively fight to ensure that justice is served on your behalf.

Business News

San Francisco Trademark Lawyer Our Firm has established a reputation for enforcing and protecting trademarks in the market place. >> read
San Francisco Corporate Law Lawyer The Firm’s Business and Corporate Practice provides service and expertise for a variety of businesses. >> read