NH Ct Says Ambiguous Exclusion Results in Coverage for Ass’n Claims

New Hampshire Supreme Court decision (January 13, 2015).

In this action a homeowners association that consisted of the owners of 24 residential condominium units filed an action for declaratory relief seeking a court determination that two insurance carriers that provided coverage to the developer of the project were responsible for the losses incurred by the association due to water damage allegedly caused by a defectively constructed  “weather barrier.”  The trial court granted the insurance carriers’ motions for summary judgment based on a finding that two exclusions in the subject policies were applicable and therefore, coverage for the association’s claims was excluded under the policies. The association filed an appeal.