Supreme Court Says Condo Association May Pursue Insurer in Construction Defect Case, But Must Arbitrate
"Were we to concur with the Appellate Division that ... the arbitration clause is somehow unenforceable in Crystal Point's action, we would contravene the Direct Action Statute's plain terms," Justice Anne M. Patterson wrote.
July 19, 2022 at 05:46 PM
4 minute read
After obtaining default judgments for construction defects against a structural engineering firm and a construction inspection company, a New Jersey condominium association may directly sue those companies' insurer, the New Jersey Supreme Court ruled.
At the same time, the court reversed the Appellate Division's holding that those claims need not be arbitrated in keeping with the policy terms.
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