Any Real Estate Lawyers... 2 days before closing adjoining townhouse explodes...

[Ferrariguyma]

Sold my townhouse, 2 days before closing the adjoining unit had a propane tank explode and blow the back of their unit off. My unit suffered soot damage, melted rear decking, melted siding, water damage on some of the shared walls.

Everything I own (furniture, kitchen, clothes) are all in a pod in a storage warehouse in NC. My buyers backed out, and I doubt I will be able to relist and sell the place until the adjoining unit is rebuilt.

I am stuck paying a mortgage on a empty condo, I can't buy/move to NC until I sell place in Mass.

What recourse do I have.

[MRM]

Wow. That's like a law school exam. You should make a claim with your own homeowner's insurance and the neighbor's insurance company. You should be entitled to alternative living expense while your unit is being repaired and full repair of your unit. You're probably entitled to the cost to relist your unit and possibly the carrying costs while it's on the market. You should be entitled to receive cash up front to cover your expenses while your home is being repaired.

You probably don't want to go there, but depending on how the purchase agreement was written, the risk of loss may have passed to the buyer upon signing the purchase agreement but before closing. If so, you can compel the sale but the buyer gets the benefit of the insurance proceeds.

You should either get a lawyer who specializes in first party property insurance claims and coverage or an insurance public adjuster. This is too complex for you to handle alone. I'd recommend looking into a reputable public adjuster first. They'll help you compile the documentation to support your claim and maximize your benefits for a charge of about 10% of the total recovery. Attorneys will either charge hourly or 1/3 of the recovery. If it gets sticky and you need to litigate you'll need a lawyer.

What insurance companies are involved?

[bpu699]

Call your insurance, they will subrogate with the neighbors insurance... Your insurance will pay for you to live elsewhere for the mean time...

Sorry it happened...

Not a whole lot you can do...***** happens. Sounds like an accident.

You could sue the neighbor for damages/lack of sale/etc... but it would probably be more hassle, and cost, than is worth it...

[greglepore]

MRM gave great advice. I'd avoid doing anything but going to your own insurance, as the subjugation might be ugly. Who knows if condo owner was negligent, or propane co, or tank manufacturer or or or...this is why you have insurance, so you don't have to wait to litigate these issues.

[MRM]

He doesn't have to sue the neighbor to get them to pay for his damages. The neighbor's homeowner's insurance will cover the loss. He needs to sue them only if there's a dispute over the benefits he's entitled to receive. Even then, he's probably able to demand binding appraisal rather than a lawsuit.

Making a claim with both his insurer and the neighbor's insurer will result in the best coverage and fastest recovery. He's entitled to up front money right now to over him while he's making repairs and living somewhere else.

Start with your insurance agent and call your neighbor for his insurance contact information.

The two homeowners insurers will subrogate back against the manufacturer of the propane tank. Those things aren't supposed to explode.

[Ferrariguyma]

I contacted my home owners (which happens to be the same company as my neighbors) they told my the condo complexes insurance is the "primary" and all claims should go thru them...

[MRM]

That's bull****. You pay your premiums for first party coverage without regard for any other third party liability or coverage. Call them up again and tell them you'll give them one more chance to take care of you before you call the state insurance commissioner.

[MikeSid]

Agreed.
Mention to the claims adjuster that you believe they are not handling your claim in good faith.
They'll understand the message. Breach of the duty of good faith by an insurance company gives rise to a tort claim against the company in addition to a breach of contract claim on the policy. And the insurance commissioner will take seriously any report that a company is handling a claim in bad faith.

[rusnak]

Originally Posted by MRM

That's bull****. You pay your premiums for first party coverage without regard for any other third party liability or coverage. Call them up again and tell them you'll give them one more chance to take care of you before you call the state insurance commissioner.

Agreed. Separate policy.

[wildthing]

I should watch this thread since I live in a condo, and have condo insurance. If I'm not mistaken, the condo insurance covers what's inside, and the complex's insurance covers the outside.