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Evaluation Of The Mediation Process

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You have asked be to review your file in the above-mentioned matter. Moreover, you have asked me to review the mediation binder in a substantially similar case involving the same insured that is named as a defendant in the litigation at issue here. Upon reviewing these materials, you have instructed me to have a conversation with you about preparing additional reservation of rights letters, and how to proceed going forward.

In this matter, we represent Liberty Mutual Insurance (“LMI”) in their coverage dispute with Baltimore Masonry, Inc. (“BMI”). LMI issued a commercial general liability (“CGL”) insurance policy to BMI. Further, the policy at issue here names BMI as the named insured, and the Armada Hoffler Construction Company and the project owners as additional insureds.

The litigation upon which the insureds’ claim under the CGL policy arises out of a lawsuit claiming damages associated with the defective construction of the VUE Condominium. The VUE Condominium is a 30-story mixed use high rise building that includes a residential condominium located in the Harbor East Neighborhood of Baltimore City. Plaintiffs allege they have recently discovered that the project contains a variety of latent design, construction, product manufacturing, and repair defects, some of which present substantial and imminent risks of serious personal injury or death.

The coverage dispute at issue in this matter arises out of a lawsuit filed on September 25, 2015 in the Circuit Court for

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