Westfield Insurance Co. v. Kroiss

OPINION

MINGE, Judge.

Appellant insurer challenges the district court’s finding that it had a duty to defend respondents homebuilders against lawsuits for water damages allegedly caused by defective construction. Respondents contend that the district court erred by not allowing them to recover attorney fees in the declaratory judgment action to determine appellant’s duty to defend. Because we conclude that appellant breached its duty to defend, we affirm in part. Because we conclude respondents’ attorney fees from the declaratory judgment action are damages arising from that breach, we reverse…