By Bryan Harrison

Construction Defect claims litigation can often wind up with a lot of additional insureds, said John Podesta at the March 8, 2006 meeting of the East Bay Claims Association. Podesta, a respected attorney with Branson, Brinkop, Griffith & Strong, LLP, out of Redwood City, presented a detailed discussion on various aspects and considerations involved with the prospect of these additional insureds.

Podesta was a big draw within the claims community, particularly amongst the AIG claims people. Attendance at the March meeting was nearly double of that expected. With some 60 plus in attendance, the modest sized room was filled to capacity.

Mr. Podesta’s PowerPoint presentation included levels of additional insured coverage, including defining what it is, who qualifies as such, things to watch for, and generally how to deal
with these potential claims.

The potential for Bad Faith in these cases is high, and it is real. Proper steps must be taken. If the carrier owes additional insured coverage, what rights does it have? Rights under CC Sec 2860 apply. The insured must tender the loss. The insured may not voluntarily incur obligations without carrier’s consent. And, the insured cannot impair the carrier’s rights to seek subrogation recovery from other tortfeasors and carriers, stated Mr. Podesta’s slide.

“If you’re going to be in the case, look at it like any other insured,” he advised.

John Podesta may be reached at (650) 365-7710, or jpodesta@bbgslaw.com.

EBCA President, Bob Tucknott, welcomed the crowd, and introduced guest speaker, John Podesta.

Speakers Committee Chair, Kelly Sullivan, is largely repsonsible for the high quality speakers this year.