Texas Supreme Court
The Houston Exploration Co. and Offshore Specialty Fabricators, Inc., Petitioners v. Wellington Underwriting…
August 26, 201154 Tex. Sup. Ct. J. 1683
Summary
The Texas Supreme Court affirmed the Court of Appeals, holding that the insurance policy does not cover weather stand‑by charges because the struck‑through paragraph 13 demonstrates the parties’ intent to exclude such costs. The Court relied on the principle that deletions in a printed form agreement are evidence of the parties’ intent, and it rejected the Assureds’ arguments that the general "all risks" provision covered the charges. A concurring opinion agreed with the result but emphasized that the stricken language need not be considered for coverage, while a dissent argued that the majority improperly used deleted language to interpret an unambiguous contract.