At Odds With ‘Occurrences’ in Pennsylvania Faulty Workmanship Claims

Source: https://www.law.com/, September 12, 2022
By: Christopher J. Tellner

Here we are again. When last writing on this topic in 2018, courts within the commonwealth consistently ruled that faulty workmanship and negligent construction do not rise to the level of an “occurrence” in commercial general liabilities (CGL) policies. That is, until faulty workmanship becomes an occurrence by virtue of a fortuitous event—such as flooding—“where the claim is for damage to property not supplied by the insured and unrelated to what the insured contracted to provide.” For anyone who has been paying attention, the obvious conclusion is that the Pennsylvania Superior Court took a significant leap from the Indalex plank to fashion a ruling where insureds can attempt to commandeer coverage for their faulty work. At some point, the Pennsylvania Supreme Court will need to right the ship that its intermediary appellate court has steered off course. Read more.

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