After Hurricane Sandy, New York City hired Triton Structural Concrete, a part of T.B. Penick & Sons, to build and install most of the 35 lifeguard and bathroom station modules on the city beaches. However, T.B. Penick has said its main subcontractor Deluxe Building Systems had failed to perform. Penick terminated the subcontractor, believing it had insurance to cover the costs of the default. After providing Arch Specialty Insurance Co. with all the requested documentation, the insurance company still refused to pay so Penick filed a lawsuit in state court in San Diego. Arch has since forced Penick to arbitrate in New York this year.
(more on the arbitration proceedings between T.B. Penick and Arch Specialty Insurance...)
