Court Denies Insurance Companies Efforts to Receive a 'Second Bite at The Apple'
9/27/2006
On August 8, 2006, the Supreme Court of the State of New York, New York County dismissed the main claims brought against an Anderson Kill client, The Glidden Company, by several London market insurance companies seeking declaratory judgment regarding coverage for certain lead paint-related liabilities. The case was a massive and unprecendented attempt - rejected by the court - to bring all lead paint claims and all insurance companies of several manufacturers to a single New York State Court. The court also stayed cross-claims by certain other insurance companies pending the outcome of further proceedings between the same parties in Ohio. The court dismissed the main claims because it found that coverage for these alleged liabilities was already being litigated by the same parties in several earlier-filed Ohio actions.
The court held:
"Based upon the foregoing analysis and for the foregoing reasons, the primary claims by Certain Underwriters are hereby dismissed as to Glidden, Millennium defendants, and Sherwin-Williams pursuant to CPLR §§ 3211 (a)(4) and 327. Certain Underwriters' claims against NL Inc. shall remain in this court."
The court denied London's efforts to receive a "second bite at the apple" in New York for claims that are already being litigated in another forum.
For additional information, please contact:
William G. Passannante
(212) 278-1328
wpassanannte@andersonkill.com
Cort Malone, Esq.
(212) 278-1382
cmalone@andersonkill.com
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