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The Collaborative Clearinghouse for Lawsuits and Other Claims Against ACE Group Insurance Companies

ACE AMERICAN INS CO et al v. KEYSTONE CONSTRUCTION & MAINTENANCE SERVICES, INC et al

ATTENTION: It is possible that this information may no longer be current and therefore may be inaccurate. The index contains both open and closed cases and is not a complete list of cases in which an ACE Insurance Group company is involved. This information is provided to give interested persons an idea of the issues disputed in the indexed cases. For a full understanding of a case, one should read the rest of the court file, including the response. For the most up-to-date and complete information on a case, visit www.pacer.gov or contact the clerk of the relevant court.

Case Number: 
3:11-cv-01136 Search Pacer
ACE Group party(s): 
Opposing Party: 
ACE American Ins Co
Court Type: 
Federal
US District Court: 
Connecticut District Court
Date Filed: 
Jul 19 2011

"1. Plaintiff ACE American Insurance Company is a Pennsylvania corporation with its principal place of business in Philadelphia, Pennsylvania.

2. Plaintiff National Union Fire Insurance Company is a Pennsylvania corporation with its principal place of business in New York, New York.

3. Plaintiff Arch Insurance Company is a Missouri corporation with its principal place of business in New York, New York.

4. Plaintiffs Certain Underwriters at Lloyd's Subscribing to Policy Nos. NED436WA3634, 60098A08AA, PN00177AA001, and AGP076002AA08 ("Lloyd's"), are foreign organizations and underwriters of insurance policies. Lloyd's is comprised of a group of syndicates acting by and through their appointed active underwriters and with a principal place of business located at 1 Lime Street, London, England EC3M 7HA.

5. Plaintiff Great Lakes Reinsurance (UK) PLC is a foreign corporation with its principal place of business in London, England.

6. Plaintiff General Security Indemnity Company of Arizona is an Arizona corporation with its principal place of business in New York, New York.

7. Plaintiff International Insurance Company of Hannover Ltd., is an insurance company registered in England with a principal place of business located at 1 Arlington Square, Bracknell, England RG12 1WA.

8. Collectively, the aforementioned insurance companies are referred to in this Complaint as "the Plaintiff insurers."

9. Defendant Keystone Construction and Maintenance Services, Inc. ("Keystone") is a Massachusetts corporation with its principal place of business in Massachusetts which conducts business in the State of Connecticut.

10. Defendant Bluewater Energy Solutions, Inc. ("Bluewater") is a Georgia corporation with its principal place of business in Georgia which conducts business in the State of Connecticut.

11. Defendant WorleyParsons Group, Inc. ("WorleyParsons") is a Delaware corporation with its prmcipal place of business in Texas which conducts business in the State of Connecticut.

12. Defendant Sprague Energy Corp. ("Sprague") is a Delaware corporation with its principal place of business in New Hampshire which conducts business in the State of Connecticut.

13. Defendant Algonquin Gas Transmission, LLC ("Algonquin") is a Delaware corporation with its principal place of business in Texas which conducts business in the State of Connecticut.

14. Defendant Siemens Power Generation, Inc. ("Siemens") is a Maryland corporation with its principal place of business in Florida which conducts business in the State of Connecticut.

FACTUAL ALLEGATIONS

15. At all times herein relevant, Kleen Energy Systems, LLC ("Kleen") contracted for the delivery of a turnkey power plant in Middletown, Connecticut. The Plaintiff Insurers provided Kleen with builders risk property insurance against loss and damage to the power plant pursuant to the terms and conditions of their respective policies.

16. Kleen contracted with O&G Industries, Inc. to design, construct and deliver the turnkey power plant. O&G in turn subcontracted work out to various subcontractors including the Defendants Keystone, Bluewater, WorleyParsons and Siemens.

17. Kleen purchased natural gas from the Defendant Sprague.

18. Kleen contracted with Algonquin to transport Sprague's natural gas to the power plant.

19. Large volumes of natural gas under high pressure were utilized at the power plant to blow debris from gas piping; a process known as gas blows.

20. On February 7, 2010, a gas blow was underway at the Kleen Power Plant venting into a confined area of the power plant allowing gas to accumulate and ignite, causing a massive explosion resulting in deaths, injuries, and millions of dollars of property damage.

21. At all times material hereto, the Plaintiff Insurers had in full force and effect insurance policies insuring Kleen Energy Systems, LLC against loss and damage to the power plant under construction in Middletown, Connecticut.

22. As a result of the explosion and resulting damage, Kleen asserted claims against the Plaintiff Insurers for property damage and delays related to the explosion and the Plaintiff Insurers pursuant to the respective policies have paid Kleen pursuant to the terms of their policies and will be obligated to make additional payments in the future. As a result of the said payments, the Plaintiff Insurers have become legally, equitably and contractually subrogated to Kleen's rights against the Defendants and other parties who may bear responsibility for the February 7, 2010 explosion to the extent of the payments made by Plaintiffs."

The provided text is an excerpt from a document filed in this case. For a full understanding of the case, one should read the complete court file, including the response.

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