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Construction Defect Claim Allocation Of Defense Costs

Concerning a requirement for equitable allocation of the costs of defending a construction defect claim.
2017 Regular Session
Courts & Judicial
Bill Summary

In a construction defect action in which more than one insurer has a duty to defend a party, the bill requires the court to apportion the costs of defense, including reasonable attorney fees, among all insurers with a duty to defend. An initial order apportioning costs must be made within 90 days after an insurer files its claim for contribution, and the court must make a final apportionment of costs after entry of a final judgment resolving all of the underlying claims against the insured. An insurer seeking contribution may also make a claim against an insured or additional insured who chose not to procure liability insurance for a period of time relevant to the underlying action. A claim for contribution may be assigned and does not affect any insurer's duty to defend.

(Note: This summary applies to this bill as introduced.)



Bill Text


Sponsor Type Legislators
Prime Sponsor

Sen. K. Grantham, Sen. A. Williams
Rep. C. Duran, Rep. C. Wist