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When vandals triggered a sprinkler system in a vacant building, flooding it with over one million gallons of water, the result was not just propertydamage. Instead, it was a lawsuit that put the scope of all-risk commercial propertyinsurance under scrutiny. The case ofEpperson v.
When vandals triggered a sprinkler system in a vacant building, flooding it with over one million gallons of water, the result was not just propertydamage. Instead, it was a lawsuit that put the scope of all-risk commercial propertyinsurance under scrutiny. The case ofEpperson v.
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American Guarantee and Liability Insurance Company , the United States District Court for the District of Massachusetts held that a loose bolt or fitting that could be remedied simply by tightening it did not constitute “direct physical loss of or damage” to equipment covered under an all-riskpropertyinsurance policy. [1]
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