South Carolina Construction Lawyer

Known Injury or Damage Exclusion not Applicable in Case of Continuing and Progressive Water Infiltration Resulting from Defective Construction

AUTO DEALER BUZZ I recently posted an article, CGL Coverage: “Known Injuries or Damages” in Minnesota and Beyond”, addressing the “Known Injury or Damage” provision in CGL policies. In August 2014, the Connecticut Supreme Court addressed the provision in the context of a construction defect case involving ongoing water infiltration issues in Travelers Cas. & Sur. Co. of Am. v. Netherlands Ins. Co., 312 Conn. 714, 95 A.3d 1031 (2014). Although the insured contractor was placed on notice of the infiltration problems before the policy inception date, the court held the Known Injury or Damage provision did not bar coverage because extrinsic evidence of when the insured was placed on notice could not be used and the underlying complaint did not “specify exactly” when the insured was first placed on notice of the problem. In 1994, the state of Connecticut contracted with Lombardo to perform masonry for the construction of the… View original post 1,355 more words

The Discovery Rule and Tolling Statute of Limitations

In a 2014 unpublished opinion, the SC Court of Appeals discussed the threshold for “notice” as it pertains to statute(s) of limitations in construction defect cases. At the root of this action was a 2003 forensic report obtained by the HOA which was not acted upon until 2009. As most of you are aware, construction defect litigation is often rooted in negligence, contract, warranty and other causes of action which are subject to three year statutes of limitations. Because defects are often latent, however, it is not uncommon for questions to arise as to when a Plaintiff knew, or should have known that a cause of action existed. BACKGROUND 3 Chisolm Street Homeowners Association, Inc. (the “HOA”) brought suit in 2009 against several defendants that completed construction work on three condominium buildings in 2002. Genoa Construction Services, Inc., the general contractor, Masterpiece Millwork, Inc., the manufacturer of the windows used in the buildings, and Brock Green Architects and..

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