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COMMUNITY REDEVELOPMENT AGCY. v. AETNA CAS. & SUR

Docket No. B077182.

50 Cal.App.4th 329 (1996)

COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF LOS ANGELES, Plaintiff and Respondent, v. AETNA CASUALTY AND SURETY COMPANY et al., Defendants and Respondents; UNITED PACIFIC INSURANCE COMPANY, Defendant, Cross-complainant and Appellant; SCOTTSDALE INSURANCE COMPANY, Cross-defendant and Respondent. COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF LOS ANGELES, Plaintiff, v. GRANITE STATE INSURANCE COMPANY, Defendant. TOKYO MARINE AND FIRE INSURANCE COMPANY, Plaintiff, v. AETNA CASUALTY AND SURETY COMPANY, Defendant.

Court of Appeals of California, Second District, Division Three.

October 29, 1996.

Attorney(s) appearing for the Case

COUNSEL

Wasserman, Comden & Casselman, David B. Casselman and Glenn A. Brown, Jr., for Defendant, Cross-complainant and Appellant.

Cooksey, Howard, Martin & Toolen, Phil Woog and Thomas Zimmerman for Cross-defendant and Respondent.

No appearance for Plaintiff and Respondent.

No appearance for Defendants and Respondents.

OPINION

CROSKEY, J.

In this action, which appears to be the final part of a major and complex construction defect case, we are called upon to construe the provisions of an excess liability policy which calls for the application of the horizontal exhaustion rule. The precise question presented is whether an excess insurer, under policy provisions such as those presented here, has any obligation, in a continuing loss case, to "drop...

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