WILMINGTON, Del. - A Delaware chancery judge on Oct. 28 dismissed a lawsuit noteholders filed against bond insurers accusing them of breach of contract and fraudulent conveyance with regard to certain actions that the noteholders say will lead to one of the insurer's insolvency (Third Avenue Trust and Third Avenue Variable Series Trust v. MBIA Insurance Corp. and MBIA Insurance Corp. of Illinois, No. 4486-VCS, Del. Chanc.; 2009 Del. Ch. LEXIS 186). From Mealey's Litigation Report: Insurance Insolvency

CHICAGO - Although a commercial general liability insurance policy covers defective workmanship when the resulting damage is to the property of others, an Illinois appeals panel held Oct. 30, an insurer has no duty to defend underlying allegations because the insured did not identify defects that caused damage to the property of others (CMK Development Corp. v. West Bend Mutual Insurance Co., No. 1-08-1155, Ill. App., 1st Dist.). From Mealey's Litigation Report: Construction Defects Insurance