The city of Minneapolis will not have to reimburse insurance companies after a burst water main flooded a downtown condominium nearly five years ago, the Minnesota Court of Appeals ruled Monday.
The October 2013 leak flooded the Sexton Loft condominiums with 3 feet of water, causing extensive damage.
Liberty Mutual Insurance covered the claims of two unit owners for $45,000, while American Family Insurance covered the claim of the condominium association for more than $75,000. The city reimbursed uninsured condominium owners.
The insurance companies went to court in April 2014 after the city refused to reimburse them.
The Court of Appeals agreed with the district court that the city wasn't liable for the claims because the flooding was not "an intentional action that the government took to meet a public purpose," according to the ruling.
"We're obviously pleased with the Court of Appeals' affirmance of the dismissal of this suit," Minneapolis City Attorney Susan Segal said. "The city is just not responsible for these damages."
Katie Galioto
