Gerling America Insurance v. G.A. Braun, Inc.

Appellate Division of the Supreme Court of New York

Gerling America Insurance v. G.A. Braun, Inc.

273 A.D.2d 139, 710 N.Y.S.2d 896, 2000 N.Y. App. Div. LEXIS 7160

CourtAppellate Division of the Supreme Court of the State of New York

DecidedJune 22, 2000

StatusPublished

This text of 273 A.D.2d 139 (Gerling America Insurance v. G.A. Braun, Inc.) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Gerling America Insurance v. G.A. Braun, Inc., 273 A.D.2d 139, 710 N.Y.S.2d 896, 2000 N.Y. App. Div. LEXIS 7160 (N.Y. Ct. App. 2000).

Pincite

Opinion

Order and judgment (one paper), Supreme Court, New York County (Edward Lehner, J.), entered October 13, 1999, which, in this action for declaratory relief, granted plaintiffs motion for summary judgment to the extent of declaring that the only claim in the underlying litigation covered by the subject policy is that of plaintiff therein as to property damage, and that the obligation of plaintiff insurer to defend in the underlying action will continue only until the property damage claim is finally adjudicated or settled, unanimously affirmed, without costs.

Defendant insured effectively concedes that the insurer is liable only for ruined garment damages, and under the circumstances here present where the insured had its own independent counsel defending the entire case, the motion court correctly held that plaintiff insurer has the right to settle that claim independently if so advised. The insured’s assertion of bad faith premised solely upon “the insurer’s settlement without [the insured’s] knowledge or consent” (see, Feliberty v Damon, 72 NY2d 112, 116), is plainly unavailing where, as here, it was the insurer’s express prerogative under the subject policy to settle without the insured’s consent (supra). Concur— Nardelli, J. P., Ellerin, Wallach, Saxe and Buckley, JJ.

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Order and judgment (one paper), Supreme Court, New York County (Edward Lehner, J.), entered October 13, 1999, which, in this action for declaratory relief, granted plaintiffs motion for summary judgment to the extent of declaring that the only claim in the underlying litigation covered by the subject policy is that of plaintiff therein as to property damage, and that the obligation of plaintiff insurer to defend in the underlying action will continue only until the property damage claim is finally adjudicated or settled, unanimously affirmed, without costs.

Defendant insured effectively concedes that the insurer is liable only for ruined garment damages, and under the circumstances here present where the insured had its own independent counsel defending the entire case, the motion court correctly held that plaintiff insurer has the right to settle that claim independently if so advised. The insured’s assertion of bad faith premised solely upon “the insurer’s settlement without [the insured’s] knowledge or consent” (see, Feliberty v Damon, 72 NY2d 112, 116), is plainly unavailing where, as here, it was the insurer’s express prerogative under the subject policy to settle without the insured’s consent (supra). Concur— Nardelli, J. P., Ellerin, Wallach, Saxe and Buckley, JJ.

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Bluebook (online)

273 A.D.2d 139, 710 N.Y.S.2d 896, 2000 N.Y. App. Div. LEXIS 7160, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gerling-america-insurance-v-ga-braun-inc-nyappdiv-2000.

Opinion

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