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News

Duffy & Bruch Secure Declaratory Judgment Dismissal of Breach of Contract, Fraud, and Professional Negligence Claims in Construction Case

Michael J. Duffy (Partner-Chicago) and Sarah (Sally) Fry Bruch (Of Counsel-Milwaukee, WI) secured a declaratory judgment and dismissal of all claims with prejudice in the Milwaukee County Circuit Court on behalf of Wilson Elser’s insurance company client. The plaintiff, a business owner, allegedly sustained damages and business losses during a construction project, filing claims for breach of contract, fraud, and professional negligence against our client (under Wisconsin’s Direct Action Statute) and its insured, a licensed architect.

Mike and Sally, citing long-standing Wisconsin law, argued that there was no initial grant of coverage for the plaintiff’s breach of contract and fraudulent misrepresentation claims under the client’s Business Liability Insurance Policy. They further argued that the plaintiff’s professional liability claim was expressly excluded under the plain language of the policy’s Professional Services Exclusion and Endorsement, which excluded coverage for property damage arising out of rendering, or failing to render, any professional service by an insured. Following briefing in support of the motion by Wilson Elser and opposition briefing by plaintiff, and Mike’s compelling oral argument, the Court ruled in favor of Wilson Elser’s client. In its twelve-page Decision and Order, the court concurred that the client’s Business Liability Insurance Policy provided no coverage for the plaintiff’s claims and held that our client had no duty to defend or indemnify the insured in the underlying matter, with all claims against Wilson Elser’s client dismissed with prejudice, and granting the client statutory costs and fees.

Michael J. Duffy and Sarah (Sally) Fry Bruch

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