Texas Power Company Says Hartford Has Duty to Defend Uri Suits

February 18, 2022

A Texas generation and transmission cooperative is suing its insurer for failing to defend the company against multiple lawsuits stemming from 2021 Winter Storm Uri.

Golden Spread Electric, a G&T cooperative based in Amarillo, claims breach of contract, declaratory judgment and violations of the Texas Insurance Code against Hartford. Golden Spread says Hartford has a duty to defend the company under a general liability policy that covers bodily injury or property injury caused by an occurrence during the policy period.

Golden Spread is a defendant in several lawsuits resulting from the February 2021 severe weather event, which caused below freezing temperatures in Texas, leading to a failure of the state power grid.

Golden Spread is one of multiple power generator defendants in the Turner Action, a suit filed by a half dozen plaintiffs who claim to have suffered loss of life and/or sustained personal injuries, damage to their property and/or other losses during Uri.

The Turner plaintiffs allege negligence and gross negligence against Golden Spread the power generator defendants, who failed properly weatherize their facilities and equipment, train personnel, and properly design their facilities.

Another suit, filed by Texas resident Danny Martin and the estate of four others, alleges Golden Spread and other power generation companies failed to properly prepare for a worst-case scenario cold weather event, causing bodily injury and property damage.

Golden Spread says it has been named in a number of additional lawsuits that have been consolidated in the Winter Storm Uri Multidistrict Litigation Panel.

Golden Spread is seeking monetary damages for breach of contract, a declaration that Hartford has a duty to defend in all lawsuits, and a penalty interest at the rate of 18% per year pursuant to the Texas Insurance Code.

Topics Lawsuits Texas

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