Colorado Construction Litigation Blog

January 10th marked the first day of the 2024 Colorado legislative session.  After the pomp and circumstance of opening day, a total of eighty-six bills were introduced.  Among them, two impact the construction and insurance industries.  First, House Bill 24-1008 would make general contractors and their subcontractors, which are direct employers of an employee, jointly […]

Recently, the United States District Court for the District of Colorado interpreted a faulty workmanship exclusion in a property insurance policy in The Lodge at Mountain Village Owner Association v. Eighteen Certain Underwriters of Lloyd’s of London, 22 U.S Dist. Ct LEXIS 48883*, decided on March 18, 2022.  The Court held that the faulty workmanship exclusion at […]

On June 24, 2019, the Colorado Supreme Court held that when a contract or insurance policy requires an “impartial” appraisal, the appraiser for a party cannot be an advocate for that party.[1]  In this situation, the appraiser must be unbiased, disinterested, without prejudice, and unswayed by personal interest.  Id. Owners Insurance Company (“Owners”) issued a […]

With increasing frequency in the construction defect cases we defend, we are seeing commercial general liability insurance policies with “subcontractor warranty” endorsements.  Also known as contractor or subcontractor special conditions, these endorsements could have severe and negative consequences for builders that do not comply with their requirements.  In researching for this article, I reviewed six different endorsements […]

In a case that squarely confronts the juxtaposition of an insurer’s duty to defend or indemnify its insured for construction related defects, the United States District Court for the District of Colorado recently granted an insurer’s motion for summary judgment on both matters against a construction subrogee, in Ass’n Ins. Co. v. Carbondale Glen Lot […]

As the 2017 Colorado legislative session reaches the halfway point, I thought it an opportune time to provide a quick overview of the construction defect bills introduced so far this session. Senate Bill 17-045, “Concerning a Requirement for Equitable Allocation of the Costs of Defending a Construction Defect Claim,” sponsored by Senators Grantham and Angela […]

On March 16th, Sheri Roswell, Lisa Dunn, and Dave McLain will be speaking at a seminar covering risk management, insurance, and a legislative overview: 3:00 – 3:15         Program Introductions3:15 – 3:40         Managing Risk and Legal Considerations3:40 – 4:05         Insurance – Considerations, Options, Builder’s Risk and Third-Party Inspections4:05 […]

In Colorado it is well recognized that an insurer has a broad duty to defend its policyholder against pending claims.  An insurer’s duty to defend is triggered when the underlying complaint against the insured alleges any set of facts that might fall within the coverage policy. Greystone Construction, Inc. v. National Fire & Marine Insurance, […]

During the summer of 2011, Ellis Construction hired Cool Sunshine Heating & Air Conditioning to install the HVAC systems in a single-family home it was building for Gary Doberman and Ellen Robertson in Boulder, Colorado. The homeowners took issue with much of the work performed on their home and tried to negotiate directly with Ellis […]

In a recent case arising out of a denial of coverage for alleged construction defect claims concerning a pre-fabricated home, the U.S. District Court for the District of Colorado applied the 10th Circuit’s determination of what can constitute an “occurrence” under a commercial general liability (“CGL”) policy.  SeeWardcraft Homes, Inc. v. Employers Mutual Cas. Co., […]

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