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DD&B Construction, Inc. v. The Hanover Insurance Co.

Court: WD Tx  02/09/2021  Insurer's Third-Party Claims Under Builder's Risk Policy Survive Motion to Dismiss

Builder's risk insurer paid amounts due for water intrusion repairs to an owner and the named insured under the policy at the direction of the insured, but the insured did not forward the sums to the contractor that performed the repair work, and, after the contractor sued the insurer for the repair costs incurred, the insurer asserted third-party claims against the named insured for failing to forward the payment, and a magistrate judge of the Western District of Texas held that the insurer's third-party claims were not subject to Rule 12(b)(6) dismissal.

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