A contractor retained an architect for a school project who provided a certificate of insurance showing a $3 million limit of liability. During construction, a design defect was discovered that delayed the project for several months. The school district was forced to rent portable classrooms and filed for substantial damages against the contractor. Although the contractor tried to pass the claim on to the architect, his $3 million limit had already been exhausted on other claims, leaving the contractor liable for the damages.
This is a claim scenario developed from a single claim or several claims and has been developed for illustrative purposes only.