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Secura Insurance, A Wisconsin Mutual Insurance Company v. Horizon Plumbing, Inc., A Kansas Corporation

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Submitted: January 10, 2012

Before MURPHY, BYE, and COLLOTON, Circuit Judges.

This declaratory judgment action was brought by Secura Insurance (Secura), an insurer for Horizon Plumbing, Inc. (Horizon), a subcontractor on a troubled construction project. Horizon’s two other insurers, State Auto Property & Casualty Insurance Company (State Auto) and Federated Mutual Insurance Company (Federated) later joined. Their dispute with Weitz Company, LLC (Weitz) arose out of a construction project in which Weitz was the general contractor for MH Metropolitan, LLC and MacKenzie House, LLC (collectively Metropolitan). After Weitz and Metropolitan brought breach of contract claims against each other, both filed third party complaints against Horizon for defective plumbing. Horizon’s insurers defended and settled all claims against it and reimbursed Weitz for its defense of claims against Horizon. Weitz then contended that since it was an “additional insured” on Horizon’s policies, the insurers should pay approximately $1.1 million for attorney fees and costs it incurred in defending against Metropolitan’s entire counterclaim.

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