It is important to stress that the success of a construction defect case depends on the plaintiff’s claims triggering insurance coverage for the defendants. Generally, contractors take advantage of the corporate form to shield their personal assets from victimized homeowners, and if they haven’t, you can be sure that they don’t have enough assets available to pay for the damage they have caused. That is why insurance coverage is important. If a claimant can get the contractor’s insurance company to step to the plate and agree to defend and indemnify the contractor, the insurance policy provides a ready source of cash to pay settlements or judgements.
Continue Reading Importance of Triggering Insurance Coverage

Before bringing suit in a construction litigation context, it is imperative that the plaintiff undertake a careful analysis of insurance coverage. Otherwise, the plaintiff can find itself in the unenviable position of spending hundreds of thousands of dollars in attorneys’ fees and expert fees over the course of three or four years of litigation, prevail after weeks or months of trial, only to find that there is no insurance coverage with which to pay the judgment that the plaintiff ultimately gets.
Continue Reading How To Win The Battle and Lose The War

In Cvetkovic vs. N.J. Water Supply Authority, a New Jersey Appellate Court has decided, as a matter of first impression in New Jersey, that a certificate of insurance which contains a disclaimer that the certificate was issued “as a matter of information only and confers no rights upon the certificate holder, nor does it “amend, extend or alter the coverage afforded by the policies” does not establish insurance coverage for the contractor receiving the certificate.
Continue Reading Contractors Certificate of Insurance