 |
 |
|
|
|
|
|
|
|
| | | |
|
|
|
|
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
1
.
OPINION
|
EXTRACTED KEY WORDS
INSURANCE DAMAGES CONTRACT COMMON LAW TENANT COLLATERAL SOURCE COLLATERAL SOURCE RULE COSTS APPELLATE DIVISION TORT BREACH LIABILITY RECOVERY PROCURE AMOUNT PETROFIN THIRD-PARTY YORK JUDGE AGREEMENT COURT CONCLUDING OUT-OF-POCKET MAJORITY LOSS UNDERLYING TORT PERSONAL INJURY DEFENSE COSTS APP |
1 No. 55
Rosario Inchaustegui, Plaintiff,
v.
666 5th Avenue Limited Partnership et al.,
Appellants,
v.
Petrofin Corporation, Third-Party Respondent.
_________________________________________________________________
2001 NY Int. 43
April 26, 2001
This opinion is uncorrected and subject to revision before publication
in the New York Reports.
Curtis B. Gilfillan, for appellants.
Robin Mary Heaney, for third-party respondent.
_________________________________________________________________
ROSENBLATT, JUDGE:
The case before us involves the remedy for a tenant's breach of an
agreement to obtain liability insurance for the landlord's benefit.
As occupant of a floor in a Manhattan office building, Petrofin (the
tenant) agreed to maintain comprehensive general public liability
insurance on the premises and name the landlord as an additional
insured.(1) Although the tenant took out a policy, it failed to
include coverage for the benefit of the landlord. Plaintiff (tenant's
employee) was injured on the premises and sued the landlord, who then
brought a third-party action against the tenant for breach of the
lease. Supreme Court granted the landlord's summary judgment motion,
holding that the tenant breached its agreement to add the landlord as
a named insured. Concluding that the landlord had its own liability
insurance, the court limited the landlord's damages to the costs of
"maintaining and securing" the insurance policy for "the year that
included the date of the accident."
A divided Appellate Division modified, holding that the landlord
should recover not only the purchase cost of the insurance but also
certain out-of-pocket expenses "arising out of the liability claim and
not covered by the substitute insurance procured by the landlord." The
majority stated that these additional damages could include, for
example, any co-payment, deductible or rate increase in the landlord's
insurance. The court concluded that under contract law this relief
SNIPPETS:
|
|
|
| | | |
|
|
