Lick Mill Creek Apartments v. Chicago Title Insurance Co.

Lick Mill Creek Apartments (plaintiff) bought previously contaminated commercial land in 1986 and purchased title insurance from Chicago Title Insurance (defendant), which had surveyed the land and noted pipes, tanks, and pumps but issued a policy covering loss from unmarketability of title and encumbrances. Because state and federal law made subsequent purchasers responsible for hazardous-material cleanup, Lick Mill spent money removing the contamination and sought reimbursement from Chicago Title, which denied the claim; the trial court sustained a demurrer against Lick Mill's complaint, and Lick Mill appealed.