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Charter Oak Fire Insurance Co. v. Conway Construction Co.

United States District Court, W.D. Washington, Tacoma

November 24, 2014

THE CHARTER OAK FIRE INSURANCE COMPANY, et al., Plaintiffs,
v.
CONWAY CONSTRUCTION COMPANY, et al., Defendants.

ORDER GRANTING DEFENDANT'S MOTION TO DISMISS

BENJAMIN H. SETTLE, District Judge.

This matter comes before the Court on Defendant Conway Construction Company's ("Conway") motion to dismiss, change venue, or stay (Dkt. 7). The Court has considered the pleadings filed in support of and in opposition to the motion and the remainder of the file and hereby grants the motion for the reasons stated herein.

I. PROCEDURAL HISTORY

On August 18, 2014, Plaintiffs Travelers Property Casualty Company of America and the Charter Oak Fire Insurance Company (collectively "Travelers") filed a complaint for declaratory judgment against Defendants Conway, Multnomah County ("Multnomah"), and Starr Surplus Lines Insurance Company ("Starr"). Dkt. 1 ("Comp.").

On August 29, 2014, Conway filed a motion to dismiss, to change venue, or to stay. Dkt. 7. On October 20, 2014, Travelers responded. Dkt. 20. On October 24, 2014, Conway replied. Dkt. 23.

On October 17, 2014, Travelers voluntarily dismissed Defendant Multnomah County. Dkt. 19.

II. FACTUAL BACKGROUND

A. Insurance Contracts

Charter Oak issued commercial general liability policies DT-CO-7A247676-COF-11 (11/05/11 to 11/05/12) and DT-CO-7A247676-COF-12 (11/05/12 to 11/05/13) to Conway. Dkt. 21, Declaration of Tom J. Frazier ("Frazier Decl."), Exh. E. The policy limit for these primary policies is $1, 000, 000 per occurrence. Id. In addition, Travelers Property Casualty Company of America provided excess coverage with a single limit of $4 million pursuant to the terms and conditions of policy number DTSM-CUP-7A247676-TIL-11. Id. The excess policy issued by Travelers Property Casualty Company of America likewise has policy periods of November 5, 2011 to November 5, 2012 and November 5, 2012 to November 5, 2013. Id.

Prior to the inception of the Travelers policies, Conway was insured pursuant to a commercial general liability policy issued by Starr under Policy No. SLPG-GL00334. Id., Exh. D. The Starr policy was in place for a policy period of November 5, 2010 to November 5, 2011. Id.

B. Underlying Lawsuits

On or about March 28, 2011, Multnomah entered into an agreement with Conway regarding a rehabilitation project of the Morrison Bridge in Portland, Oregon. Comp., ¶

9. On August 14, 2012, Conway filed a complaint against ZellComp, Inc. and Strongwell Corporation in a lawsuit entitled Conway Construction Co. v. Zellcomp, Inc., et. al., Circuit Court of the State of Oregon, Multnomah County Cause No. 1208-10105 (hereinafter, the "Underlying Action"). Id. ¶ 22. Strongwell Corporation manufactured and ZellComp, Inc. provided allegedly defective material used in the rehabilitation project. Id. 13-14.

On or about September 12, 2013, Multnomah intervened in the Underlying Action and filed a Complaint in Intervention against Conway. Id. ¶ 30. Multnomah alleges that Conway improperly installed the FRP deck panels at the project and ...


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