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Royal Zenith v. New York Marine Managers

Appellate Division of the Supreme Court of New York, First Department
Apr 15, 1993
192 A.D.2d 390 (N.Y. App. Div. 1993)

Opinion

April 15, 1993

Appeal from the Supreme Court, New York County (Myriam Altman, J.).


The IAS Court, properly determined that defendant insurers were not liable under the policy of insurance sued upon for the alleged damages sought by the plaintiff to its printing presses stored at the warehouse of the insured, Willmac Warehouse and Distribution Center, Inc. ("Willmac"), where, as here, the loss in question was specifically excluded from coverage under the policy by the express exclusion for damage to property caused by atmospheric conditions, and where the insured, Willmac, had violated the policy terms and conditions by voluntarily assuming liability by stipulation of settlement without the defendant insurers' written consent.

Plaintiff's action on the unsatisfied judgment against Willmac pursuant to Insurance Law § 3420 was therefore properly dismissed since the plaintiff, as a judgment-creditor, stands in the shoes of the insured and may recover under the policy only to the extent that the insured would be entitled to indemnification coverage (Matter of Nassau Ins. Co. [Bergen — Supt. of Ins.], 161 A.D.2d 146, 147, affd 78 N.Y.2d 888; Holmes v Allstate Ins. Co., 33 A.D.2d 96, 98), and since "even in cases of negotiated settlements, there can be no duty to indemnify unless there is first a covered loss" (Servidone Constr. Corp. v Security Ins. Co., 64 N.Y.2d 419, 423).

We have reviewed the plaintiff's remaining claims and find them to be without merit.

Concur — Murphy, P.J., Ellerin, Wallach and Asch, JJ.


Summaries of

Royal Zenith v. New York Marine Managers

Appellate Division of the Supreme Court of New York, First Department
Apr 15, 1993
192 A.D.2d 390 (N.Y. App. Div. 1993)
Case details for

Royal Zenith v. New York Marine Managers

Case Details

Full title:ROYAL ZENITH CORPORATION, Appellant, v. NEW YORK MARINE MANAGERS, INC., et…

Court:Appellate Division of the Supreme Court of New York, First Department

Date published: Apr 15, 1993

Citations

192 A.D.2d 390 (N.Y. App. Div. 1993)
596 N.Y.S.2d 65

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