Mediating Large Construction Defect Cases: Strategies for Resolving Disputes With Dozens of Parties and Insurers Large construction defect cases present unique challenges for settlement. With multiple owners, developers, general contractors, subcontractors, design professionals, attorneys, insurance carriers, and coverage counsel involved, mediation can quickly become a complex exercise in coordinating competing interests, evaluating liability, and navigating insurance coverage. In this episode, host Chris Rhody sits down with Stephanie Chesney, a 20-year litigation veteran, co-chair of the Strategic Risk & Complex Litigation practice in the Global Insurance Department at Cozen O’Connor, and vice office managing partner of the firm’s Boston office, to discuss strategies for successfully mediating large construction defect disputes. Stephanie shares practical insights on when to mediate, how to prepare clients and insurers, and how to turn seemingly insurmountable disagreements over damages, liability, and available insurance into meaningful settlement opportunities. This episode covers: Why large construction defect mediations are so challenging: Managing multiple parties, competing liability theories, damages disputes, indemnity and contribution claims, and insurance coverage issues. When to mediate: Why early mediation can save time and expense, and how to determine whether the parties have enough information to negotiate productively. Preparing for mediation: Coordinating discovery, evaluating claims, engaging clients and carriers, and developing a realistic settlement strategy before mediation day. Evaluating damages: Breaking down competing repair estimates, identifying disputed costs, and addressing betterment, soft costs, and other factors that affect settlement value. Navigating complex insurance programs: Understanding multiple carriers, policy limits, additional insured coverage, reservations of rights, exclusions, defense-cost erosion, and excess coverage. Securing settlement authority: Why advance preparation and clear communication with clients, claims professionals, and coverage counsel are essential to avoiding costly delays. Choosing the right mediator: The importance of construction defect litigation experience and a practical understanding of insurance-related obstacles. Breaking through an impasse: Exploring creative approaches to stalled negotiations, including partial settlements, coverage discussions, and alternative settlement structures. Settling around non-cooperative parties: Evaluating contribution, indemnity, releases, allocation, additional insured rights, and the procedural consequences of partial resolutions. Learning from unsuccessful mediations: How even an unresolved mediation can narrow the issues, reduce the number of parties, and lay the groundwork for a future settlement. Stephanie also shares common mistakes lawyers make in large construction defect mediations, from misunderstanding available insurance to failing to prepare clients for compromise, and explains why focusing on solutions rather than arguments over fault can make all the difference. Whether you represent owners, contractors, subcontractors, design professionals, or insurers, this episode offers practical guidance for navigating the complexity of multi-party construction defect disputes and improving the prospects for resolution. Please be sure to follow, rate and review the show on your favorite podcast provider. And, if you have any questions or comments, please email chris@constructiondefectmediation.com. Follow on LinkedIn: www.linkedin.com/in/chris-rhody-443aa3432 Follow on Instagram: https://www.instagram.com/cdlitigation_pod