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A Busy Week for Defective Construction as an “Occurrence” – New Jersey and Oklahoma Courts Weigh InJul 13, 2015

On July 9, 2015, a New Jersey state appellate court and an Oklahoma federal district court each held that claims for defective construction constituted “property damage” caused by an “occurrence” under the corresponding CGL policies, despite previous decisions concluding otherwise. In these recent decisions, the reviewing courts found the determining factor for the “occurrence” inquiry to be whether the insured expected the resulting damage.  Since neither could credibly prove that…

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