Owner v. Insurer: Contractual Breach Not Covered by Civil Liability Policy

A building owner, having contracted with a construction company for work that was later abandoned due to an alleged breach by the owner, sued the company and its insurer for damages resulting from the failure to complete the work, claiming the insurer was liable under a liability policy that covered obligations arising from the contract. The insurer argued that the policy did not cover contractual obligations but only liability arising from tortious acts. The court upheld the lower court's decision to reject the owner's claim against the insurer, reasoning that the insurer's contractual liability policy, which was intended to cover civil liability arising from damage to third parties or property during the execution of the work, could not be interpreted to cover the financial consequences of the contractor's mere contractual non-performance or breach of contract, as such a claim constitutes a contractual remedy between the parties rather than a claim covered under general civil liability insurance.