Contractors across the nation will be watching the Mississippi Supreme Court Oct. 5 to see if it upholds a Rankin County circuit court decision that ruled the insurer is not responsible for subcontractor performance under a contractor’s Commercial General Liability policy.
In Architex Association Inc. v. Scottsdale Insurance Co., Architex alleges that “an unintended construction defect by a subcontractor constitutes an occurrence that triggers coverage under a contractor's CGL insurance policy,” according to a statement from the law firm of Burr & Forman LLP of Jackson, Miss., representing Architex. The lawsuit alleges that Scottsdale has a “duty to investigate and defend” Architex in the matter.