Mildred Powell, Appellant v. Liberty Mutual Fire Insurance Company, Respondent

Summary

The court held that the policy's earth movement exclusion was ambiguous as applied to foundation damage caused by soil expansion after a ruptured water pipe. Because the exclusion did not clearly encompass that particular loss, it had to be construed against the insurer, and the district court erred in granting summary judgment. The court also held that the prior decision involving an earth movement exclusion was policy-specific and distinguishable, and it reversed and remanded the related statutory claim because factual issues remained.