CONSTRUCTION DEFECT JOURNAL

"News and Information for Construction Defect and Claims Professionals"

CONSTRUCTION DEFECT JOURNAL - ISSUE 242749 - TUESDAY, JANUARY 6, 2026

Inadequate Coverage for Lease Building Becomes Apparent After Loss

Commercial building after tornado
December 30, 2025
Tred R. Eyerly - Insurance Law Hawaii

After the leased commercial building was destroyed by a tornado, a dispute arose over inadequate coverage under a policy that the tenant was obligated to provide. Fort Worth Partners, LLC v. Nilfisk, Inc., 2025 U.S. App. LEXIS 27000 (8th Cir. Oct. 17, 2025).

Nilfisk leased a warehouse building from Fort Worth Partners under the terms of a lease. The warehouse was a 200,000 square foot building comprised of two 100,000 square foot structures. A tornado destroyed the building. All 100,000 square feet of one building and approximately 40,000 square fee of the second building were damaged beyond repair. Nilfisk vacated the building prior to the expiration of the lease.

Mr. Eyerly may be contacted at te@hawaiilawyer.com


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