{"id":1481,"date":"2012-12-04T15:47:03","date_gmt":"2012-12-04T23:47:03","guid":{"rendered":"https:\/\/bullivant.wpengine.com\/?p=1481"},"modified":"2021-07-26T15:48:18","modified_gmt":"2021-07-26T22:48:18","slug":"insureds-allegations-in-suit-against-contractors-deemed-admissions-precluding-first-party-coverage","status":"publish","type":"post","link":"https:\/\/studioactiv8.com\/bullivant\/insureds-allegations-in-suit-against-contractors-deemed-admissions-precluding-first-party-coverage\/","title":{"rendered":"Insured&#8217;s Allegations In Suit Against Contractors Deemed Admissions Precluding First-Party Coverage"},"content":{"rendered":"<div class=\"wpb-content-wrapper\">[vc_row][vc_column][vc_column_text]It is not uncommon in the construction defect arena to see insureds sue the contractors responsible for defective construction, and also tender a claim to the first-party insurer for coverage of losses associated with the construction problems. A recent opinion by the California Court of Appeal reminds insurers that their insureds&#8217; allegations in other litigation may be relevant to coverage issues. The recent decision in\u00a0<i>O&amp;S Holdings LLC et al. v. Fireman&#8217;s Fund Ins. Co. et al.<\/i>, 2012 WL 5193783 (Cal. Ct. App., 2d Dist. Oct. 22, 2012) is instructive.<\/p>\n<p>In\u00a0<i>O&amp;S Holdings<\/i>, the insured sued contractors alleging damage to a hotel complex they built was caused by defective work and materials. The insured also sued its first-party insurers for breach of contract and bad faith for denying coverage. The insurers had denied coverage based on construction defect exclusions.<\/p>\n<p>The court granted the insurers summary judgment because it said the insured was bound by the construction defect allegations it made in its case against the contractors. &#8220;The trial court did not err in denying a continuance or in granting summary judgment because O&amp;S Holdings was bound by the unequivocal admissions in its complaint [in the construction defect lawsuit].&#8221;<\/p>\n<p>Insurers should take into account any judicial admissions made by the insured when coverage is sought for losses related to construction defects. There may be times where the insured&#8217;s admission of fact in a pleading from a separate lawsuit may act as a judicial admission in the coverage action.[\/vc_column_text][\/vc_column][\/vc_row]\n<\/div>","protected":false},"excerpt":{"rendered":"<p>[vc_row][vc_column][vc_column_text]It is not uncommon in the construction defect arena to see insureds sue the contractors responsible for defective construction, and also tender a claim to the first-party insurer for coverage of losses associated with the construction problems. A recent opinion by the California Court of Appeal reminds insurers that their insureds&#8217; allegations in other litigation&hellip;<\/p>\n","protected":false},"author":32,"featured_media":829,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","footnotes":""},"categories":[147],"tags":[198],"post_series":[],"class_list":["post-1481","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-insurance-coverage","tag-insights","authorormentioned-samuel-ruby","entry","has-media"],"_links":{"self":[{"href":"https:\/\/studioactiv8.com\/bullivant\/wp-json\/wp\/v2\/posts\/1481","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/studioactiv8.com\/bullivant\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/studioactiv8.com\/bullivant\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/studioactiv8.com\/bullivant\/wp-json\/wp\/v2\/users\/32"}],"replies":[{"embeddable":true,"href":"https:\/\/studioactiv8.com\/bullivant\/wp-json\/wp\/v2\/comments?post=1481"}],"version-history":[{"count":0,"href":"https:\/\/studioactiv8.com\/bullivant\/wp-json\/wp\/v2\/posts\/1481\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/studioactiv8.com\/bullivant\/wp-json\/wp\/v2\/media\/829"}],"wp:attachment":[{"href":"https:\/\/studioactiv8.com\/bullivant\/wp-json\/wp\/v2\/media?parent=1481"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/studioactiv8.com\/bullivant\/wp-json\/wp\/v2\/categories?post=1481"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/studioactiv8.com\/bullivant\/wp-json\/wp\/v2\/tags?post=1481"},{"taxonomy":"post_series","embeddable":true,"href":"https:\/\/studioactiv8.com\/bullivant\/wp-json\/wp\/v2\/post_series?post=1481"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}