New York “occurrence”

In Exeter Building Corp. v. Scottsdale Ins. Co., No. 2009-11612 (N.Y. 2d App. Div. Dec. 17, 2010), insured Exeter was sued by the homeowners association for two residential condominium projects for which Exeter served as general contractor, seeking damages for defective construction by Exeter and its subcontractors.  Exeter’s CGL insurer, Scottsdale, defended under a reservation of rights but then subsequently withdrew that defense.  Exeter filed suit against Scottsdale.  The trial court denied Scottsdale’s motion for summary judgment.  On appeal, the intermediate appellate court reversed, holding with little discussion that all of the insured’s alleged conduct “falls solely and exclusively under the work product exclusions of the CGL policies, and the damages sought therein do not arise from an occurrence resulting in damage to property distinct from the work product of Exeter or its hired subcontractors.”