Courts of Appeal
Insurance; Real Estate; Personal Injury: Litigation: Commerical

Williams Consolidated I, Ltd. v. TIC Insurance Co.
Houston-14 - 7/31/07
14-06-00075-CV
Justice Frost

Insurer May Have A Duty To Indemnify.

Insurance coverage dispute concerning a subcontractor's work- wrongly installed vapor barrier- that allegedly caused moisture to condense on and within the cavity of an exterior wood-framed wall, resulting in mold damage; the homeowners alleged property damage as well as personal injury damages. P-subcontractor sued its liability carrier, D, after it refused to defend or indemnify P in the underlying suit. The trial court rendered summary judgment for D. Held: Reversed and remanded in part. There is no coverage as to any property damage or personal injury that 1st occurred or began before the effective date of the policy; however, if the alleged damage did not occur or begin before that date, but the alleged process leading to the ultimate injury or damage began before that date, coverage is not excluded for this reason.

State Bar of Texas Civil Digest
August 15, 2007