Federal Judge Dismisses Commercial General Liability Insurer's Coverage Action Regarding Faulty Work under Abstention Doctrine

HATTIESBURG, Miss. - A federal judge in Mississippi on April 28 dismissed a commercial general liability insurer's coverage action regarding an insured's faulty work in favor of an underlying state court action because the judge explained that the state court is in a better position to resolve the factual issues for coverage purposes (Click for a free downloadf of the decision in National Builders and Contractors Insurance Co. v. Kenneth Dossett d/b/a Dossett Construction and Katie McCaffrey Investments LLC, No. 10-200, S.D. Miss.; 2011 U.S. Dist. LEXIS 45909). The court pointed out that "District courts routinely invoke the doctrine of abstention in insurance coverage actions, which necessarily turn on issues of state law."

Read the full story, Mississippi Federal Judge Dismisses Insurer's Coverage Action Regarding Faulty Work, on lexis.com and obtain copies of NBCIC's Motion to Dismiss and the Repy Memoranda.

Research more about abstention in insurance coverage disputes in Brillhart Abstention Doctrine, New Appleman on Insurance Law Library Edition § 7.07.

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