Bituminous Casualty Corp. v. Sheets

This is an appeal from a judgment in favor of an insured against an insurer. The insurer relied on two exclusionary clauses in the contract of insurance in refusing to pay the claim. We must decide whether the trial court correctly held those clauses inapplicable.

In 1982, Hunt Contracting Corporation (Hunt), a general contractor, had a contract with the City of Portsmouth for repairs and improvements to the City’s sanitary sewer system. Hunt subcontracted a part of the work at the Race Street pumping station to T.A. Sheets, a mechanical contractor. Sheets’ responsibility at the Race Street…