                     SUPREME COURT OF ARIZONA
                              En Banc

DESERT MOUNTAIN PROPERTIES          )   Arizona Supreme Court
LIMITED PARTNERSHIP,                )   No. CV-10-0339-PR
                                    )
             Plaintiff/Appellee/    )   Court of Appeals
                Cross-Appellant,    )   Division One
                                    )   No. 1 CA-CV 08-0802
                v.                  )
                                    )   Maricopa County
LIBERTY MUTUAL FIRE INSURANCE       )   Superior Court
COMPANY,                            )   No. CV2003-009686
                                    )
             Defendant/Appellant/   )   O P I N I O N
                  Cross-Appellee.   )
_________________________________   )

        Appeal from the Superior Court in Maricopa County
               The Honorable Robert E. Miles, Judge

                             AFFIRMED
________________________________________________________________

          Opinion of the Court of Appeals, Division One
             225 Ariz. 194, 236 P.3d 421 (App. 2010)

                             AFFIRMED
________________________________________________________________

FENNEMORE CRAIG, P.C.                                         Phoenix
     By   J. Randall Jefferies
          Timothy Berg
          Theresa Dwyer-Federhar
          Louis D. Lopez
          Meredith K. Marder
Attorneys for Desert Mountain Properties
Limited Partnership

DAVID BELL & ASSOCIATES, P.L.L.C.                             Phoenix
     By   David M. Bell
          Howard L. Andari
Attorneys for Liberty Mutual Fire
Insurance Company
HARALSON, MILLER, PITT, FELDMAN & MCANALLY, P.L.C.                         Tucson
     By   Stanley G. Feldman

And

POLI & BALL, P.L.C.                                                        Phoenix
     By   Michael N. Poli

And

KNAPP & ROBERTS, P.C.                                                   Scottsdale
     By   David L. Abney
Attorneys for Amici Curiae Arizona
Association for Justice/Arizona Trial
Lawyers Association and United Policyholders

LEWIS AND ROCA, L.L.P.                                   Phoenix
     By   Randy S. Papetti
Attorneys for Amicus Curiae Complex
Insurance Claims Litigation Association
________________________________________________________________

B E R C H, Chief Justice

¶1          We granted review in this case to consider (1) whether

a commercial general liability (CGL) policy covers an insured’s

contractual liability for damage that caused only economic loss,

(2)   whether    the    CGL   policy’s     contractual      liability    exclusion

applies only when an insured has “assumed” another’s liability

by    agreeing   to    indemnify    or   hold    another     harmless,    and   (3)

whether an insured’s voluntary expenditures to repair property

damage caused by construction defects resulted from a “legal

obligation”      to    pay    “damages.”        We   have   jurisdiction     under

Article 6, Section 5(3) of the Arizona Constitution and A.R.S.

§ 12–120.24 (2003).




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¶2         After considering the briefs and oral arguments, the

Court   affirms   the   opinion   of   the   court   of   appeals   on   these

issues for the reasons set forth therein.



                                   __________________________________
                                   Rebecca White Berch, Chief Justice


CONCURRING:


_____________________________________
Andrew D. Hurwitz, Vice Chief Justice


_____________________________________
W. Scott Bales, Justice


_____________________________________
A. John Pelander, Justice


_____________________________________
Robert M. Brutinel, Justice




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