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Insured seeks coverage for mechanic’s liens
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Court Report
Wednesday, March 17, 2021
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When a project it funded fell through, an insured lender sought coverage for mechanic’s liens for work on the property prior to its financing. It argued provisions of a standards policy covered those liens, despite eliminating a covered risk that would have specifically covered the mechanic’s liens. When the title insurer denied coverage, the lender filed suit. The case eventually went before the Fifth U.S. Circuit Court of Appeals. Read on for more details.
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